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t
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THE BEACON PRESS
Boston 8
May 1953
Issued in cooperation with
Americans for Democratic Action
Printi'd in U.S.A.
[COMMITTEE PRINT]
INVESTIGATIONS OF SENATORS
JOSEPH R. McCarthy
AND
WILLIAM BENTON
PURSUANT TO
S. Res. 187 and S. Res. 304
REPORT
OF THE
SUBCOMMITTEE ON PRIVILEGES AND ELECTIONS
TO THE
COMMITTEE ON RULES AND ADMINISTRATION
>-J:
W-i.
UNITED STATES
GOVERNMENT PRINTING OFFICE
WASHINGTON : 1952
SUBCOMMITTEE ON PRIVILEGES AND ELECTIONS OF THE COMMITTEE
ON RULES AND ADMINISTRATION
THOMAS C. HENNINGS, JR., Missouri, Chairman
CARL HAYDEN, Arizona ROBERT C. HENDRICKSON, New Jersey
Grace E. Johnson, Chief Clerk
Paul J. Cotter, Chief Counsel
Stanley T. Fisher, Chief Investigator
S. Harvey FoSNer, Associate Counsel
ALLEN J. Goodman, Assistant Counsel
William J. Miller, Accountant
Francis X. Plant, Investigator
Robert L. Shortley, Investigator
CONTENTS
Pag«
Introduction nYn
Why tlie Subcommittee did not subpoena Senator McCarthy »-lU
The reason for the long delay in the investigation and report 11-12
Reasons for treating with S. Kes. 1S7 and S. lies. 304 in the same
report ^^'
Part I— Kesults of Investigation Pursuant to S. Res. 187 :
Scope of investigation 12
Press releases of two former Subcommittee staff members 14-15
Whether under the circumstances it was proper for Senator McCarthy
to receive $10,000 from the Lustron Corporation 15-19
Whether funds supplied to Senator McCarthy to fight communism or
for other speciiic purposes were diverted to his own use 19--27
The Bentley-Van Straten transaction 19-23
Senator McCarthy's special account 2a-27
Whether Senator McCarthy used close associates and members of his
family to secrete receipts, income, conmiodity and stock speculation
and other financial transactions for ulterior motives 27-3S
Senator Mc(\irtliy's 1044 primary campaign for the Senate 27 -2&
William P. McCarthy's transactions 29-32
The Appleton St:ite I'.ank transactions 32-38
Appietoii State Bank interest transactions 3(5-37
Senator McCarthy's and Kay Kiermas' bank accounts 37-38
Whether Senator McCarthy's activities on behalf of certain special
interest groups, such as housing, sugar, and China were motivated
by self interest 38—10
Housing 38
Sugar 3S-39
China 39-40
Whether loan or other transactions Senator McCarthy had with Apple-
ton State Bank or others involved violations of the tax and bank-
ing laws 40-43
Whether Senator McCarthy violated Federal and State Corrupt Prac-
tice Acts in connection with his 1944-46 senatorial campaigns or in
connection with his dealings with Ray Kiermas 43-45
1944 campaign 43
1940 senatorial campaign 43-45-
Conclusion and reconimi'udations 45-
Part II— Results of Investigation Pursuant to S. Res. 304 :
Walter Cosgriff's testinionv before the Fulbright committee (March
1951) 46-47
Benton's testimony before S<'nate Subcommittee (September 1951) 47
Benton's testimony before Senate Subconnnittee (July 1952) 47-48
Statement of Walter Cosgriff (November 11, 1952) 48-50
Testimony of Senator Benton on November 24, 1952 50-51
Conclusions and recommendations 52
(m)
ADDENDUM
to Subcommittee Report on S. R. 187 and S. R. 304
The foregoing report is based substantially upon testimony
and exhibits which were presented before the Subcommittee
on Privileges and Elections. However, because of a lack of
continuity in the Committee membership and delays beyond
the control of the present membership of the Committee,
its preparation has given us great concern as a number
of its aspects have become moot by reason of the 1952 elec-
tion. Such facts therein as were known to the people of
the States particularly affected have been passed upon by
the people themselves in the election. Thus, as we pass our
studies on to our colleagues of the incoming session, we want
the Senate of the United States to understand that the Com-
mittee's efforts have been harassed by a lack of adequate
time and lack of continuity in the Committee membership.
There will be forthcoming in the next few days a Committee
report embodying suggestions on remedial legislation affect-
ing election laws and procedures.
INVESTIGATION OF SENATORS JOSEPH R. McCARTHY
AND WILLIAM BENTON
Mr. Hennings, from the Subcommittee on Privileges and Elections
of the Senate Committee on Rules and Administration, submitted the
following
REPORT
[Pursuant to S. Res. 187 and S. Res. 304]
INTRODUCTION
On August 6, 1951, S. Res. 187 was introduced in the Senate by
Senator William Benton of Connecticut. This resolution called for an
investigation to determine whether expulsion proceedings should be
instituted against Senator Joseph R. McCarthy. The resolution
pointed out certain findings in a report which had been filed under
date of August 3, 1951, by the Senate Subcommittee on Privileges and
Elections, relating to Senator McCarthy's activities in the 1950 Mary-
land senatorial election and suggested further investigation of these
activities as well as other acts of Senator McCarthy since his election
to the Senate. (See Resolution, Appendix, Exhibit 1.)
The resolution was referred by the President of the Senate to the
Senate Committee on Rules and Administration and, in turn, to its
Subcommittee on Privileges and Elections for proper action. Because
of what followed, it is believed highly appropriate to explain briefly
why this action was taken.
By historical precedent, prior to the Reorganization Act of 1946,
among other things, matters relating to expulsion, exclusion or censure
of a Senator were referred to a permanent committee of the Senate
called "The Committee on Privileges and Elections." The ex-
pulsion of a Senator involves the dismissal for cause of a Senator who
has already been seated and requires a two-thirds vote of the Senate.
The exclusion of a Senator involves the refusal of the Senate to seat
a Senator elected by his state, and can be effected by a majority vote.
Article I, section 5, of the Constitution provides that "Each House
(of the Congress) shall be the judge of the elections, returns and quali-
fications of its members".
The Reorganization Act of 1946, which greatly reduced the number
of standing committees of the Senate, abolished the old Committee on
Privileges and Elections and transferred its functions to the Senate
Connnittee on Rules and Administration. In practice, these functions
have since been carried out by its Subcommittee on Privileges and
Elections.
The records of the old standing Committee on Privileges and Elec-
tions during the course of its history from 1871 to 1947, reflect that it
(1)
had taken jurisdiction over eight expulsion and exclusion cases and
three censure cases, which were predicated upon grounds other than
matters relating to elections. These cases involved issues ranging from
allegations of selling influence to the making of a disloyal speech.
Additional reference to this Subconnnittee's jurisdiction over such
matters will be made later in the report.
The Subcommittee on Privileges and Elections, in proceeding with
a preliminary investigation to determine the merits of S. Res. 187,
on September 28, 1951, received testimon^^ in open hearing; from Sen-
ator Benton in support of said resolution. Prior to this, however,
and under date of September 17, 1951, Senator jMcCarthy wrote Sen-
ator Gillette, Chairman of the Subcommittee, that the hearings were
designed to expel him "for having exposed Communisis in Govern-
ment*', and demanded the right to cross-examine witnesses at the
hearing. The Subcommittee decided that cross-examination of wit-
nesses would be confined to members of the Subcommittee and, by
letter of September 25, 1951, Chairman Gillette advised Senator
McCarthy of this and invited him to attend the hearing of Septem-
ber 28 and make a statement, if he so desired. (Copies of Senator
IVIcCarthy's letter and Senator Gillette's reply are attached as Exhibits
2 and 3.)
Senator McCarthy did not attend the September 28 hearing. By
letter dated October 1, 1951, Chairman Gillette again invited Senator
McCarthy to appear before the Subcommittee to reply to Senator
Benton's charges (Exhibit 4).
Senator McCarthy replied by letter of October 4, 1951, rejecting
the invitation and terming the Benton charges a Communist smear.
Thereafter Senator McCarthy conducted a bitter attack upon the
integrity of the Subcommittee and its jurisdiction to investigate a
Senator on matters other than those growing out of elections. What
transpired is best summarized in a letter dated March 6, 1952. from
Senator Gillette, as Chairman of the Subcommittee, to Senator Carl
Hayden, Chairman of the parent Committee on Rules and Adminis-
tration, in which it was indicated that the Subcommittee after decid-
ing that it was difficult enough to perform its duty without being
attacked in the manner Senator McCarthy employed, requested that
the Senate itself pass upon the jurisdiction of the Subcommittee
and the integrity of its individual members, or discharge it from the
responsibility delegated to it. Senator Gillette's letter, which is being
made a part of this report, is set forth as follows :
March 6, 1952.
Re: S. Res. 187.
My Dear Senator Hayden : On August 6. 1951 Senate Resolution 1S7 was intro-
duced in the Senate by Senator William r.enton of Connecticut and was re-
ferred by the President of the Senate to the Conimitteo on Rules and Admin-
istration. As you know, the resolution proposes an Inquiry to detennine whether
the Connnittee on Rules and Administration should initiate action with a view
toward the expulsion from the United States Senate of Senator .Joseph R. Mc-
Carthy of Wisconsin. The final clause of the resolution is as follows :
"Rcr.olvrd, That the Committee on Rules and Administration of the Senate is
authorized and directed to proceed with such consideration of the report of its
Subcommittee on Privileges and Elections with respect to the IPnO Maryland
senatorial general election, which was made pursuant to S. Res. 2.50, Eighty-first
Congress, April 13, 1950, and to make such further investigation with respect
to the participation of Senator Joseph R. McCarthy in the 1950 senatorial cam-
paign of Senator .John Marshall Butler, and such investigation with respect to
his other acts since his election to the Senate, as may be appropriate to enable
such conimlttoe to dotormine whether or not it should Initiate action with a view
toward the expulsion from the United States Senate of the said Senator Joseph
R. McCarthy."
On Auj^ust 8, 1951, as Chairman of the Committee on Rules and Administra-
tion, you referred the said resolution to the Subconnnittee on Privileges and
Elections and on Friday, September 28, the Subconnnittee received in op<'n
session an oral statenn^nt from Senator Uenton in support of the resolution. An
Invitation was extended to Senator McCarthy to attend this public bearing and
to appear before the Subcommittee to answer Senator Benton's charges. However,
Senator McCarthy rejected this invitation by letter dated October 4, 1951, in which
he stated :
"Frankly Ouy, I have not and do not intend to er(^ read, inueh less answer,
Benton's smear attaek. I am sure you realize tlwt the Benton type of material
can be found in the Daily Worker almost any day of the iveek and icill continue
to floir from the mouths and pens of the camp-folloicers as long as I continue m,y
fight against Communists in government."
( A copy of Senator McCarthy's communication is attached hereto as enclosure
"A"). (Exhibit 5.)
Thereafter, the staff of the Subcommittee was ordered to investigate the
matters involved. On December 6, 1951, without prior inquiry either to me or
to any other meml>er of the Subconnnittee, Senator McCarthy falsely and, it
must be said, maliciously, accused the committee of "stealing from the pockets
of the American taxpayer tens of thousands of dollars" in its handling of this
investigation. The scandalous nature of his charges is apparent from the follow-
ing quotation of tliem :
". , . over the past months, it has been repeatedly brought to my attention
that a horde of investigators hired by your committee at a cost of tens of
thousands of dollars of taxpayer's money, h<is been engaged erclusively in trying
to dig tip on McCarthy material covering periods of time long before he was
even old enough to be a candidate for the Senate — material which can have no
conceivable connection with his election or any other election. This is being done
in complete disregard of the limited power of your elections subcommittee. The
obiHous purpose is to dig up campaign material for the Democrat Party for the
coming campaign against McCarthy.
"When your elections subcommittee, ivithout Senate authorization, spends tens
of thousands of taxpayers' dollars for the sole purpose of digging up campaign
material against McCarthy, then the committee is guilty of stealing just as
clearly as though the members engaged in picking the pockets of the taxpayers
and turning the loot over to the Democrat National Committee.
"If one of the Administration lackies loere chairman of this committee, I would
not waste the time or energy to write and point out the committee's complete
dishonesty, but from, you, Ouy, the Senate and the country expect honest ad-
herence to the rules of the Senate. . . .
"While the actions of Benton and some of the committee rnonbers do not sur-
prise me. I cannot undirstnnd your being willing to label Guy Gillette as a man
who will head a committee which is stealing from the pockets of the American
taxpayer tc7is of thousands of dollars and then using this money to protect
the Democrat Party from the political effect of the exposure of Communists in
government. To take it upon yourself to hire a horde of investigators and spend
tens of thousands of dollars <without any authorization to do so from the Senate
is labeling your elections subcommittee as even more dishonest than iras the
Tydings Committee."
(A copy of this communication and of my reply, also dated December G, 1951
are attached hereto as enclosure "B"). (Exhibits 6 and 7.)
The following day, December 7, 1951, Senator McCarthy addressed to me a
further communication requesting information concerning the p(>rsonnel of the
staff of the Subcommittee, their salaries, and an explanation of the nature of
instructions issued to them. Since Senator McCarthy was at that time a member
of the Itules Committee, I felt that he was entitled to the inl'oiination he had
requested relative to the personnel employed by the Subcommittee and by letter
dated December 11, in."il, related information to him concerning their f^alaries
and the length of time they had been employed. (A copy of this communication
and of my reply dated December 11, 1951, are attached hereto as enclosure
"C"). (Exhibits 8 and 9.)
Again, Mr. Chairman, on December 19, 1951, after having received from me
the complete details with respect to the personnel of th(> Subcommittee and the
salaries at which they are employed. Senator McCarthy deliberately, knowing the
change to be false, again vilified the Snbcoramittee on Privileges and Elections
with the same extravaf?ant and irresponsible charges, attributing dishonesty and
improper motives to its members. In this letter Senator McCarthy stated :
". . . The full Committee appointed you Chairman of an FAections Subcom-
mittee, but gave you no power whatsoever to hire investigators and spend vast
amounts of money to make investigations having nothing to do with elections.
Again may I have an answer to my questions as to why you feel you are entitled
to spend the taxpayers' money to do the work of the Democratic National
Committee.
"As I have previously stated, you and every member of your Subcommittee who
is responsible for spending vast amounts of money to hire investigators, pay their
traveling expenses, etc., on matters not concerned with elections, is just as dis-
honest as though he or she picked the pockets of the taxpayers and turned the loot
over to the Detnocrat National Committee. . . ."
All of the above intemperate and outrageous accusations were delivered to the
public press prior to their submission to me, as I pointed out in a communication
to Senator McCarthy dated December 21, 1951 :
", . . Unfortunately, our previous correspondence concerning these matters
found its way into the public press and your letters to me were printed in full in
the public press even before I received them. As a former judge you will appreci-
ate, I am sure, the impropriety of discussing matters pertaining to pending litiga-
tion in the public press. The Senate Committee on Rules and Administration hav-
ing referred the Benton Resolution to our Subcommittee, has placed us in a quasi-
judicial position relative to a matter of outstanding importance involving the
expulsion from the Senate of a sitting member."
In this communication I also extended to Senator McCarthy an opportunity to
confer with me in person rather than continue this exchange of correspondence.
With respect to his unwarranted, undignified and wholy unjustifiable attack upon
the integrity of the Subcommittee, I said :
". . . may I again assure you that as far as I am personally concerned, neither
the Democratic National Committee, nor any other person or group other than an
agency of the United States Senate has had or icill have any influence whatever as
to my duties and actions as a member of the Subcommittee and I am just as
confident that no other member of the Subcommittee has been or will be so
influenced."
(A copy of Senator McCarthy's letter of December 19, 1951 and of my answer,
which I transmitted to Senator McCarthy on December 21, 1951, are attached
hereto as enclosure "D" ) . ( Exhibits 10 and 11. )
The invitation contained in my letter of December 21, 1951 was, however,
ignored by Senator McCarthy and again on January 4, 1952 he addressed to me
a communication charging that the jurisdiction of the Subcommittee was re-
stricted to matters having to do with elections and asking whether the investi-
gators were ordered to restrict their investigations to such matters. (A copy of
this communication and of my reply dated January 10, 1952 are attached hereto
as enclosure "E".) (Exhibits 12 and 12A.)
No valid argument can be made that the Subcommittee does not possess juris-
diction to enter into a plenary investigation of Senator McCarthy's qualifica-
tions and conduct. The matter has been the subject of careful research by the
legal staff of the Subcommittee and it is clear that Senator McCarthy's charge
that our jurisdiction is limited to matters pertaining to elections is wholly
untenable.
However, because of the fact that a question of jurisdiction has been raised
by Senator McCarthy and because he has undertaken, in addition, to impugn the
integrity of the members of the Subcommittee in communications which have
been widely publicized by him, the Subcommittee, in an executive session held on
March 5, 1952, adopted the following motion by Senator Monroney of Oklahoma :
"That the Chairman of the Committee on Rules and Administration request
Senator McCarthy of Wisconsin to raise the question of the jurisdiction of the
Subcommittee on Privileges and Elections and of the integrity of the members
thereof in connection with its consideration of S. Res. 187 by making a formal
motion on the floor of the Senate to discharge the Committee; and that Senator
McCarthy be advised by the Chairman of the Committee on Rules and Adminis-
tration that if he does not take the requested action in a period of time to be
fixed by stipulation between Senator McCarthy and the Chairman of the Com-
mittee on Rules and Administration, that the Committee (acting through the
Chairman of the Standing Committee or the Chairman of the Subcommittee)
will itself present such motion to discharge for the purpose of affirming the juris-
diction of the Siiboonimittop and the integrity of its members in its consideration
of the aforesaid Uesolution."
As Cliairmaii of tlie Subcommittee, I transmit tliis report to you and request
that you brini; tlie matter before the Committee on Ilules and Administration at
its next meeting.
Respectfully,
Guy M. Gir.i-ETTE, Chairman.
This motion was adopted by the Senate Conirnittec on Rules and
Administration and Senator ]\IeCarthy was offered an opportiniit}^ to
present such a resolution. He indicated liis refusal by letter dated
March 21, 1952, in which he stated that as the Subcommittee had spent
"tens of thousands of dollars" and nearly a year, making an investiga-
tion of him, its task was not linished until it rei)orted to the Senate the
results of such investigation. He further stated that the preliminary
report wliich the stalF had written was scurrilous, cleverly twisted and
distorted and then leaked to the left-wing element of the press in an
effort to further smear "McCarthy". He stated that a vote of confidence
in the Subcommittee would be a vote on whether or not it had the right,
without authority from the Senate — but merely on the request of one
Senator, to make a thorough and complete investigation of the entire
life of another Senator, and that a vote against the Subcommittee
could not undo the harm which had already been done "in regard to
McCarthy" (Exhibit 13).
On April 8, 1952, Senator Hayden, Chairman of tlie Committee on
Kules and Administration, introduced on the floor of the Senate, S.
Res. 300 (Exhibit 14), which incorporated the Subcommittee's motion
and pointed out the issue involved with respect to Senator McCarthy's
charge that the Subcommittee on Privileges and Elections lacked juris-
diction to investigate such acts of a Senator as were not coimected with
an election campaign, and his attack upon the honesty and motives of
the members of the Subcommittee. This resolution asked that the
Committee on Rules and Administration be discharged from the fur-
ther consideration of S. Res. 187. Senator Hayden also recjuested
that there be printed in the Congressional Record certain precedents
of the Senate relating to expulsion, exclusion and censure cases un-
connected with elections from 1871 to 1951. These were ordered
printed and are attached as Exhibit 15. There was also ordered to be
printed in the Congressional Record of that date Senator (lillette's
letter of March 6, 1952, to Senator Hayden, appearing above in this
report, together with attachments, and Senator McCarthy's letter to
Senator Hayden of March 21, 1952.
On April 10, 1952, the Senate voted on Resolution 300, and, by a
unanimous vote of GO-0, upheld the jurisdiction of the Senate Sub-
committee on Privileges and Elections to continue its investigation of
Senator McCarthy and confirmed its confidence in the honesty and
integrity of the members of the Subcommittee. Senator McCarthy did
not oppose the resolution.
However, on April 10, 1952, Senator McCarthy introduced S. Res.
304 to investigate Senator Benton of Connecticut (Exhibit IG). This
resolution enumerated certain alleged activities of Senator Benton,
including acce])tance of campaign funds which were collected by
Walter Cosgriff for Benton's 1950 senatorial campaign and not re-
ported by him in violation of Federal and State laws. The resolution
requested the Committee on Rules and Administration of the United
States Senate to make such investigation of these and other activities
and associations of Senator Benton as the Committee deemed necessary
in order to recommend appropriate action to the Senate.
As a result of a decision of the Privileges and Election Subcom-
mittee, reached in executive session on May 7, 1952, Senator McCarthy
was invited by letter of same date, to appear, at his convenience, at
public hearings to be held in connection with S. Res. 187, particularly
with respect to allegations made by Senator Benton that Senator
McCarthy improperly received a $10,000 fee in 1948 from the Lustron
Corporation (Exhibit 17).
By letter of May 8, 1952, Senator McCarthy replied, giving no
indication as to whether he would accept the invitation, but setting
forth a defense of his receipt of the Lustron fee. He again pointed
out that this "year-long investigation by your Subcommittee would
never have been commenced if I had not been exposing Communists
in Government", and indicated that the Subcommittee was serving
the Communist cause. Senator McCarthy also stated in this letter,
"If you have evidence of wrong doing on McCarthy's part which
would justify removal from the Senate or a vote of censure by the
Senate, certainly you have the obligation to produce it" (Exhibit 18).
In another letter from Senator McCarthy to Senator Gillette, dated
May 8, 1952, Senator McCarthy charged that Benton's resolution to
expel him from the Senate came about because of his fight to expose
Communists in the Democratic Administration, and in charging that
the Subcommittee was stalling on the Benton matter, stated : "Before
I urged the Senate to vote to continue the life of your Subcommittee,
we received your unqualified promise to proceed to investigate the
Benton case just as expeditiously as the attempted expulsion of Mc-
Carthy" (Exhibit 19).
On May 10, 1952, Senator Gillette again wrote Senator McCarthy,
acknowledging receipt of the letter of May 8th and inviting him to
appear on May 12th before the Subcommittee to give such statements
as he desired, to refute charges made by Senator Benton, etc. (Ex-
hibit 20). On May 11, 1952, Senator McCarthy wrote Senator Gil-
lette a sardonic letter expressing "deepest sympathy" that the "star
witness" for the Subcommittee hearing of the 12th was in an insti-
tution' < for the criminally insane. He again drew a comparison
between the activities of the Subcommittee in "exposing McCarthy"
and the "Communist Party which is also doing an excellent job in
exposing the evils of McCarthyism". He advised the Subcommittee
members "not to be disturbed by those who point out that your Com-
mittee is trying to do what the Communist Party has officially pro-
claimed as its No. 1 task." (Exhibit 21.)
On May 13, 1952, Senator Gillette wrote Senator McCarthy pointing
out that the McCarthy resolution directed at Senator Benton had not
as yet been referred to the Subcommittee (Exhibit 22). By letter of
May 28, 1952, this resolution was referred to the Subcommittee by
the Rules and Administration Committee (Exhibit 23).
On June 9, 1952, Senator Gillette wrote Senator McCarthy pointing
out that Senator McCarthy had advised that he was unable to present
a statement before the Subcommittee during the previous week and
fixed Thursday of the current week to present any additional testimony
he desired in support of Senator McCarthy's resolution concerning
Senator Benton. The letter stated that the same rules would apply
as in the case of the Benton resolution (Exhibit 24). On June 11,
1952, Senator McCartliy wrote Senator Gillette that he would not be
available Thursday, but would be available the followino; "Wednesday.
Senator McCarthy ajz;ain ur<!;ed that immediate investi<ration be con-
ducted of Senator Benton, including the procurement of his Federal
Income Tax Returns (Exhibit 25).
On June 12, 1952, Senator McCarthy wrote Senator Gillette tliat it
would appear that he would be unable to attend on the date scheduled
that week, and a<;ain urged the staff to immediately obtain Benton's
tax returns, etc. (Exhibit 2(5).
On June 18, 1952, Senator Gillette wrote Senator McCarthy, setting
another date, June 23, for Senator McCarthy's appearance before the
Subcommittee (Hxhibit 27). On June 19, 1952, Senator McCarthy
wrote Senator Gillette that he had just been served with a Court
Order in the case of McCarthy v. The Syracuse Post-Standard^ and
would not be able to appear on the 23rd (Exhibit 28).
On June 20, 1952, Senator Gillette wrote Senator McCarthy,
acknowledging receipt of his letter of the 19th and advising that the
Subcommittee would consult his convenience as to fixing another date
for the hearing on McCarthy's resolution pertaining to Senator Benton
(Exhibit 29). Under date of June 23, 1952, Senator Gillette received
a letter from Senator Benton pointing out that he had again and
again made himself available to be present when Senator McCarthy
presented his evidence in further support of Resolution 3()-l, and that
on one date set for hearing, when Senator McCarthy said he would
be attending a State convention in Wisconsin, he was actually on the
floor of the Senate (Exhibit 30). On June 23, 1952, Senator Gillette
wrote Senator McCarthy advising that the Subcommittee was await-
ing Senator McCarthy's statement in support of his resolution con-
cerning Senator Benton, which was the same procedure followed by
the Subconunittee in its consideration of S. Res. 187 (Exhibit 31) . On
June 24, 1952. Mary B. Driscoll, secretarj^ to Senator McCarthy, wrote
Senator Gillette saying that Senator McCarthy had advised her that
he had offered periodically to present further information to the Sub-
committee relative to the resolution against Benton, but each time the
date had been cancelled or postponed because Senator Benton could
not appear, but if the Subcommittee was sincere, he proposed the date
of July 3 (Exhibit 32).
On June 25. 1952, a wire was addressed to Senator McCarthy by
Senator Gillette confirming July 3 as the date of hearing Senator
McCarthy on his resolution against Senator Benton (Exhibit 33).
On July 1, 1952, Senator McCarthy wrote Senator Gillette, advising
that he understood the Subcommittee wanted additional material to
implement tliat contained in his resolution against Senator Benton
and he would appear in accordance with the request, but that he
wanted it understood that he had never requested and was not now
requesting the opj^ortunity. He said he felt that he liad given ample
leads in his resolution and that he was far too busy witb more im-
portant matters to waste much time with "Benton" (Exhibit 34).
A public hearing was held on July 3, 1952, at which Senator Mc-
Carthy presented further allegations against Senator Benton, prin-
cipally concerning Benton's harboring and emjjloying communists
in the State Department. Senator Benton also ap])eared at this pub-
lic hearing and, after Senator McCarthy had testified, gave testimony
8
in refutation of these charges and other matters contained in S. Res.
304.
On September 8, 1952, one day prior to Senator McCarthy's primary
election in Wisconsin, Jack Poorbaugh, a Subcommittee investigator,
resigned after issuing a statement to the press, giving as a reason for
his resignation that the Subcommittee was not fair in its treatment of
the two resolutions to the prejudice of Senator McCarthy, and that
alleged information was supplied to certain correspondents for the
apparent purpose of smearing Senator McCarthy (Exhibit 35) . (This
resignation will be mentioned later in this report.)
By letter of September 9, 1952, Senator Herman Welker, of Idaho,
submitted his resignation from the Subcommittee on Privileges and
Elections to Senator Carl Hayden, Chairman of the Committee on
Rules and Administration (Exhibit 36). By letter of September 10,
1952, to Senator Hayden, Senator Gillette, Chairman of the Subcom-
mittee, submitted his resignation from the Subcommittee eflFective
September 26, giving as his reason, the fact that he was seriously
disturbed over the recent action of Senator Welker and investigator
Poorbaugh, both of whose resignations were given to the press prior
to the time he received them, and to the situation which had developed
with reference to the Subcommittee work seeming to indicate a pur-
pose on the part of adherents of both Senator McCarthy and Senator
Benton to discredit the work of the Subcommittee, which efforts
recently had been directed to attacks on Senator Gillette personally
(Exhibit 3r).
At the Subcommittee meeting of September 26, 1952, Senator
Thomas C. Hennings, Jr., of Missouri, was delegated to serve as Chair-
man of the Subcommittee and Senator Robert C. Hendrickson, of
New Jersey, to serve as Vice Chairman, and the Subcommittee was
reduced to three members, the third member being Senator Mike
Monroney, of Oklahoma. Subsequently, in view of Senator Mon-
roney's absence in Europe, his resignation from the Subcommittee was
accepted and Senator Carl Hayden became the third member.
At the instruction of the Subcommittee, its Chief Counsel, under
date of November 7, 1952, addressed letters to both Senators McCarthy
and Benton, inviting them to appear before the Subcommittee in execu-
tive session in connection with the Subcommittee's consideration of
S. Res. 187 and S. Res. 304, and advising that the Subcommittee would
make itself available during the week of November I7th for that
purpose (Exhibits 38 and 39).
Senator Benton telephoned in response to Subcommittee Counsel's
letter and advised that he would make himself available at any time.
By letter of November 10 (postmarked "9:30 p. m., November 13,
1952"), Senator McCarthy's Administrative Assistant, Ray Kiermas,
advised the Subcommittee that Senator McCarthy was away from
Washington and did not know just when he would return, and that it
did not presently seem he would be available to appear before the
Subcommittee during the week mentioned; however, if the Subcom-
mittee would let Senator McCarthy know just what information was
desired, he would be erlad to try to be of help (Exhibits 40 and 40a).
On November 21, 1952. Senator Hennincrs. on behalf of the Subcom-
mittee, wrote Senator McCarthy suggesting Senator McCarthy's ap-
pearance any time between November 22 and November 25, 1952, and,
in pursuance of Senator McCarthy's offer of assistance, pointed out
that the Subcommittee wanted to make inquiry with respect to the
following matters :
(1) Whether any funds coUertod or received by you and by others on your
behalf to conduct certain of your activities, including tliose relating to "com-
munism," were ever diverted and used lor other purposes inuring to your per-
sonal atlvantage. , o* *
(2) Whether you, at any time, used your official position as a United btates
Senator and as a member of the Banking and Currency Committee, the Joint
Housing Cummittee, and the Senate Investigations Committee to obtain a $10,000
fee from the Lustrou Corporation, which company was then almost entirely
subsidized by agencies under the jurisdiction of the very Committees of which,
you were a member.
(3) Whether your activities on behalf of certain special interest groups, suchi
as housing, sugar and China, were motivated by self-interest.
(4) Whether your activities with respect to your senatorial campaigns, par-
ticularly with respect to the reporting of your linancing and your activities
relating to the tinancial transactions with, and subsequent employment of, Ray
Kiermas involved violations of the Federal anci State Corrupt Practices Acts.
(5) Whether loan or other transactions which you had with the Appleton
State l>ank, of Appleton, Wisconsin, involved violations of tax and banking laws.
(G) Whether you used close associates and members of your family to secrete
receipts, income, commodity and stock speculation, and other financial trans-
actions for ulterior motives.
(For a complete copy of this letter, see Exhibit 41.)
This letter was delivered by Subcommittee Counsel to Senator
McCarthy's office and when informed that Senator INIcCarthy was in
the woods hunting and could not be reached, the Subcommittee sent
a tele<2;ram immediately to his Appleton, Wisconsin, address, advis-
ing him of the dates available for him ta appear and referring to
the letter of the same date (Exhibit 42) .
On November 21, 1952, the Chairman also addressed a letter to
Senator Benton, advising him that the Subcommittee would be avail-
able to hear his testimony between November 22 and November 25,
1952 (Exhibit 43). On November 23, 1952, Senator Benton was ex-
amined in executive session.
On the evening of December 1, 1952, there were delivered in person
to Senator Hennings office two letters from Senator jSIcCarthy; the
lirst was dated November 28, 1952, and advised that Senator McOarthv
had just received the Subcommittee's telegram of November 22, which
had been sent even though Senator Hennings had previously been in-
formed that Senator McCarthy was not expected to return to Washing-
ton until November 27, on which date he did return (Exhibit 44) ; the
second letter, dated December 1, 1952, acknowledged receipt of the
Subcommittee's letter of November 21, questioned the honesty of the
Subcommittee, pointed out that two members of the stalf had resigned,
giving as a reason that the Sul)committee was dishonestly used for
political purposes, and that two Senators had also resigned, one in-
dicting the Subconmiittee for complete dishonesty and the other with-
out giving any plausible reason, and that he would not ordinarily
dignify the Subconnnittee by answering the letter of November 21,
1952. but, in order to have the record straight, "The answer to the six
insulting questions in vour letter of November 21, is 'No'." (Exhibit
45.)
Why tli^ Sv}) committee didii't subpoena Senator McCarthy
There would appear to be no reason, under the law, why Senator Mc-
Carthy would not be subject to a subpoena issued by this Subcommittee
10
summoning him to appear before it for questioning. Although recog-
nizing its authority, the Subcommittee did not choose to do so. Senator
McCarthy is a member of the same Senate from which such
authority to subpoena stems and, until this year, was a fellow member
of the Senate Committee on Rules and Administration, the parent of
this Subcommittee. He is quite familiar with the rules governing the
operation of the Senate and the responsibility placed upon the indi-
vidual members by committee assignments. The issues of this case
involve an internal procedure of the Senate itself, stemming from the
Constitution, whereby that body has the authority and responsibility
for keeping its own house in order.
In S. Res. 187, this Subcommittee had before it, at the outset, merely
the issue of determining the merits of Senator Benton's charges relat-
ing to Senator McCarthy's fitness to sit in the Senate. As indi-
cated. Senator McCarthy was invited to attend Subcommittee hearings
on six occasions to present his explanations of the issues raised in
S. Res. 187 and the investigation made pursuant thereto. Three of the
invitations were extended prior to the Senate vote on April 10, 1952,
and three invitations were extended subsequently. Senator McCarthy
should have known that the most expeditious way to resolve the issues
would have been to appear before the Subcommittee to make such state-
ments and refutations of the charges as he saw fit. For reasons known
only to Senator McCarthy, he chose not to accept this course, but to
charge that the allegations were a smear and that the Subcommittee
was dishonest and doing the work of communists. Between October
1951 and April 1952 he refused to honor the invitations of the Sub-
committee on Privileges and Elections on the grounds that it lacked
jurisdiction and that the members of said Subcommittee were dishonest
in their motives for insisting on any investigation, which, he contended,
was solely because of his exposure of communists in Government.
Subsequent to April 10, 1952, and in the face of the Senate's 60-0 vote
confirming the integrity of the members of the Subcommittee and its
jurisdiction to investigate the matters involved. Senator McCarthy
continued to reject the invitations of the Subcommittee to appear
before it for the purpose of presenting testimony in explanation of the
issues raised by the investigation, and continued his attack upon the
members of the Subcommittee.
Such action on the part of Senator McCarthy might appear to
reflect a disdain and contempt for the rules and wishes of the entire
Senate body, as well as the n^embership of the Subcommittee on Privi-
leges and Elections.
For much the same reason, the Subcommittee did not subpoena
members of Senator McCarthy's office staff and family, or his close
associates. Until very recently, there was a chance that Senator
McCarthy would himself come in to give explanations with respect
to the many transactions under question which he has had with such
persons, and which will be mentioned later in this report. Senator
McCarthy, by his failure to cooperate, placed those people in the posi-
tion where, if they had been subpoenaed, they would have had to give
testimony and explanations which Senator McCarthy had refused to
give or else be in contempt of the Senate. It would have been an
unfair position to place them in.
11
The reason for the long delay in the investigation and report
The Subcommittee desires to be the first to admit and. furtlier, re-
sent that S. Res. 187 pertainin<x to Senator McCartliy has taken up
an excessive amount of its time and has doin-ived the niembei-s thereof
of time and etlort Avhich they couKl have spent on other pressing
matters for which, as Senators, they were responsible. The magni-
tude of the unpleasantness connected with the assigned responsibility
of the present inquiry can only be demonstrated by setting forth, as
above, the record of what transpired. It is quite apparent that too
much of the time from September 1951 through June 1952, and again
between November 7 and December 12 of this year, was spent in
carrying on correspondence witii Senator McCarthy and .smarting
from his diverse attacks upon the membership of the Subcommittee.
The Subcommittee members did not ask for the assignment to inves-
tigate Senator McCarthy's activities. It was willing, as early as Sep-
tember 28, 1951, to hear him for the purpose of determining whether
there was any merit to S. Res. 187. The record of what took place
thereafter leaves the inescapable conclusion that Senator McCarthy
deliberately set out to thwart any investigation of him by obscuring
the real issue and the responsibility of the Subcommittee by charges
of lack of jurisdiction, smear, and communist-inspired persecution.
Senator McCarthy's metliods, his contempt for the Subcommittee's
eti'orts, even after the unanimous vote of the entire Senate, and his
refusal to cooperate in any way, were very effective up to a point, but
did not resolve the issue. The Subcommittee was continually faced
with the alternative of having to throw up its hands and admit that
the task of investigating Senator McCarthy was too difficult and un-
pleasant, or to keep proceeding with the inquiry, which raised addi-
tional questions with respect to his activities as a Senator.
By his attacks upon the Sul)Committee, which hampered its prog-
ress. Senator McCarthy nevertheless kept the inquiry open. His
charges, as set forth in' his letter of December 6, 1951 (Exhibit 6),
that the Subcommittee was spending tens of thousands of dollars and
had a horde of investigators going into his life back to a time before
he was old enough to sit in the Senate, are, of course, without foun-
dation. The record will reflect that the great percentage of the in-
vestigation of Senator McCarthy has been conducted by one staff
member. This was particularly' true until the Subcommittee staff
was reconstituted in September and October of this year.
In the early Fall of this year, the Subcommittee was confronted with
the burden of work which occurs incident to a national election (it
also has the responsibility for matters pertaining to Presidential and
Vice-Presidential elections as well as senatorial contests, remedial leg-
islation, etc.) and had reached a point where little progress was being
made in the investigation of Senator McCarthy, because of the Sen-
ators continued attitude, attendant charges and counter-charges of
partisanship on the Subcommittee staff, leaks to the press, etc. As a
solution, the Subcommittee employed a new Chiof Counsel Paul J.
Cotter and a staff of experienced investigators. The only employee
of the previous staff retained for work on the Senator McCarthy and
Senator Benton inquiries was the one mentioned above, an accountant.
12
At this late date, there was little time left to resolve the issues, in
view of Senator McCarthy's continued refusal to cooperate. It is true
that much too much time and expense have been spent on the investi-
gation of Senator McCarthy which, the record will reflect, was directly
caused by the attitude and methods employed by said Senator.
Reasons for treating with S. Res. 1^ and S. Res. 304- 'in the same report
For the reason that it is quite apparent that S. Res. 304 would not
have been introduced had it not been for the introduction of S. Res. 187,
304 being in the nature of a cross complaint, any discussion of the two
resolutions would appear appropriate in one report.
At the present time, there is little comparison between S. Res. 187,
introduced by Senator Benton with respect to Senator McCarthy, and
S. Res. 304, later introduced by Senator McCarthy with respect to
Senator Benton, in view of Senator Benton's recent defeat in the
senatorial election, which makes the issues raised by S. Res. 304 moot.
However, in the interests of remedial legislation, it was determined to
continue the investigation with respect to certain phases of S. Res. 304
to bring it to its logical conclusion and to include it in the same report
with S. Res. 187.
I. RESULTS OF INVESTIGATION PURSUANT TO
S. RES. 187
The Subcommittee, from the outset, was forced to take cognizance of
the fact that Senator McCarthy was a highly controversial figure.
His critics represented him as a ruthless opportunist who would use
any cause for self-advancement and who has confused and hampered
the fight of constituted agencies against communism in this country
by his self-appointed crusade and ungoverned accusations against any-
body whom it would serve his best purpose to charge. His admirers
represented him as a vital force who, regardless of methods em-
ployed, has been responsible for penetrating the indifference to Com-
munists and fellow travellers in Government and other high positions
in the country. This fact, plus the fact that Senator McCarthy, from
the outset, has taken the position that S. Res. 187 was communist-
inspired, and that this Subcommittee, by making any investigation
of him, was aiding the Communist cause, has made the Subcommittee's
assignment exceedingly more difficult and, because of it, this Subcom-
mittee and staff have made a' particular effort to confine themselves
to the more fundamental issues.
SCOPE OF THE INVESTIGATION
Senate Resolution 187 called for the further investigation of Senator
McCarthy's participation in the 1950 Maryland senatorial campaign
and other acts to determine his fitness to serve as a Senator (Exhibit 1) .
On September 28, 1951, Senator Benton, in further support of
S. Res. 187, gave testimony before the Subcommittee, in which he out-
lined ten specific charges: (1) that Senator McCarthy had perjured
himself with respect to statements he had made on the radio con-
cerning Communists in the State Department; (2) that Senator
McCarthy had been highly unethical in accepting a $10,000 fee from
the Lustron Corporation; (3) that Senator McCarthy had alleged
that General Marshal was a member of a "conspiracy to aid Russia";
(4) that Senator McCarthy had engaged in calculated deceits in his
13
statements that he had been forced to make public the names of persons
Avitli communist affiliations in the State Department ; (5) that Senator
McCarthy en<ra,jj:ed in fraud and deceit in tiie Maryland senatorial
election of 1950; (6) that Senator ^McCarthy alle«,^edly stated that
he would not claim senatorial innnunity; (7) dealt with an alle<z;ed
FBI chart referred to by Senator McCarthy and described as a "hoax'*
by Senator Benton; (8) that Senator McCarthy repeatedly stated that
he would name the names of communists in the State Department,
when subsequent statements by him disclosed that he had no names;
(9) dealt with Senator McCarthy's intervention on behalf of the
defendants in the Malmedy Massacre case; and (10) dealt with per-
sons Senator McCarthy employed — particularly Don Surine's false
statements conccrnino: the circumstances under which he had left the
employment of the FBI. and the employment of an alleged Com-
munist, Charles Davis, for investigation work in Europe.
By letter of October 5, Senator Benton recjuested that the investi-
fation of Senator McCarthy be extended to include acts of Senator
IcCarthy prior to his election as a United States Senator, particularly
his involvement in the Quaker Dairy case, /State vs. McCarthy in 1941 ;
in Senator McCarthy's violation of the State Constitution in 1946 in
running for the Senate while holding the position of Judge, and in
charges that Senator McCarthy, as a Judge, specialized in divorce
mill actions (Exhibit 46).
Upon Senator McCarthy's refusal to appear before the Subcom-
mittee, the staff was directed to proceed with an investigation, the
report of which was completed and submitted to the Subcommittee
in January of 1952.
Information from this unreleased report appeared in the press.
There were uncontirmed reports and accusations that these leaks were
inspired to ''smear'' Senator McCarthy. There were like reports that
Senator McCarthy had obtained a copy of the confidential staff report
and leaked it to the press to embarrass the Subcommittee. Unfortu-
nate and irresponsible as this event proved to be, it is a matter which
this Subcommittee could not and does not propose to resolve.
After the vote of the Senate confirming the jurisdiction and in-
tegrity of the Subcommittee, public hearings were ordered and held
from May 12 through May IG, 1952, inclusive, on the Lustron fee
phases of Senator Benton's charges. Under all the circumstances
and particularly without some explanation from Senator McCarthy,
who refused to testify, the acceptance of this $10,000 fee would appear
to have been highly improper, to say the least. The facts adduced by
investigation and hearings with respect to this matter will be sum-
marized later in this report.
The information developed in connection with Senator McCarthy's
obtaining, disposition of and reporting of his taxable income on the
Lustron $10,000 fee, as well as reports and rumor that he had collected
funds for his anti-comnuinist fight which he had possibly diverted to
his own use and received money for aiding special interest groups
while a United States Senator, brought about an extension of the
investigation into his financial and other activities, and it is the infor-
mation in this connection which will be treated with primarily in this
report.
In Senator Benton's charges against Senator McCarthy and also in
Senator McCarthy's charges against Senator Benton, there were
J. 236027 2
14
contained matters so controversial in nature that it would not be feas-
ible for this Subcommittee, or perhaps any other agency, regardless of
its resources, to resolve.
This Subcommittee is reluctant to become involved in matters con-
cerning speeches and statements. It has already made a report on its
investigation into the 1950 Maryland senatorial campaign, including
Senator JNIcCarthj^'s participation therein, and feels this report speaks
for itself. It should not be necessary to state that the Subcommittee in
its effort to in no way give aid to communism or detract from anything
which has been done to prevent communist infiltration in Government
or elsewhere, has scrupulously attempted to avoid any issues wherein
its position might be misinterpreted. It does not intend to go into
matters relating to Senator McCarthy's activities prior to the time he
was a candidate for the United States Senate, except insofar as such
information may be necessary to a better understanding of later
financial matters treated with.
Press releases of two former Subcommittee staff merribers
The Subcommittee does not intend to go into the circumstances sur-
rounding adverse press releases which were made by two of its staff
members during the course of this investigation, except to give the
information on hand with respect to the circumstances surrounding the
making of such statements to the press.
On December 8, 1951, the services of Daniel R. Buckley, a staff
investigator, were terminated, together with those of two other inves-
tigators, for the reason that their services were no longer necessary.
Approximately three weeks later, on December 27, 1951, at 5 : 00 p. m.,
Mr. Buckley issued a long prepared press release which was highly
critical of the Subcommittee and stated that it was being used to smear
Senator McCarthy (Exhibit 47).
Records of the telephone company, apparently obtained at the time,
reflect that at 3 : 06 p. m. of that date (December 27, 1951), Miss Jean
Kerr, Senator McCarthy's secretary, made a call from the Senate
Office Building to Mr. Buckley, and that at 4 : 41 p. m., Mr, Buckley
called the office of Fulton Lewis, Jr., in Washington, D. C. Two other
calls were made on December 27, 1951, by Mr. Buckley in New York to
Miss Jean Kerr in Washington at 7 : 40 and 10 : 33 p. m. There were
also a number of other calls to Miss Kerr subsequent to that date, all
of which are listed on Exhibit 47a attached.
On September 8, 1952, Jack Poorbaugh, a Subcommittee investi-
gator, resigned from the staff by telegram from Cleveland, Ohio, his
home, which wire he simultaneously released to the press. In the
telegram, Mr. Poorbaugh stated that the Subcommittee was being un-
fair to the prejudice of Senator McCarthy. (This wire is attached
as Exhibit 35.) It will be noted that September 8th was the day be-
fore the Wisconsin primary in which Senator McCarthy was a candi-
date. Information from a reliable source reported that Mr. Poor-
baugh had conferred with associates of Senator McCarthy, including
Fulton Lewis, Jr., just prior to his resignation in order to assist Sen-
ator McCarthy in the primary election. In conflict with this action was
a letter (a photostatic QO\>y of which is attached as Exhibit 48). written
in long-hand by M.\ Poorbaugh to Subcommittee Counsel, in which he
requested two weeks' leave without pay to proceed to Cleveland to
attend to personal matters. This letter was written in the office of the
15
Subcommittee on Saturday, September 6, and left on the Committee
Counsel's desk, in his absence.
*******
"When the Subcommittee received the letter dated Novcmbi-r 10,
195:2, from Senator McCartliy's Administrative Assistant, Mr. Kier-
nias, advising that if the Subcommittee would let Senator McCarthy
know just wliat information was desired, he would be glad to try to
help (Exhibit 40), it was hoped that, at last, possibly Senator Mc-
Carth}' would come before the Subconnnittee and give his explana-
tions of the many transactions in which he engaged, which, at least
without some explanation, looked highly irregular.
It was in furtherance of this lirst offer of cooperation received from
Senator McCarthy which caused the Subcommittee to send him the
letter of November 21, 1952 (Exhibit 41), which set forth the six
general questions previously stated in this report and about which the
Subcommittee desired information. The Subcommittee believed that
Senator McCarthy, from his intimate knowledge of his own activities,
would and did obtain from these questions a good impression of the
explanations desired.
Senator McCarthy's curt reply (Exhibit 45) that the ansAver to the
"six insulting questions ... is 'No' ", left the Subcommittee with
no alternative but to make its report with the information which it
had, leaving to the members of the Senate to draw" such conclu-
sions from it as they would. It is under the headings of these six
general questions that the body of this report is being written.
The exhibits and other facts appearing in this report were pre-
sented to the Subcommittee by witnesses under oath.
Whether Under the Circumstances it was Proper for Senator
McCarthy to Receive $10,000 from the Lustron Corporation
On September 28, 1951, Senator Benton, in his testimony before
the Privileges and Elections Subcommittee in support of S. Res. 187,
raised the question as to the propriety of Senator McCarthy's re-
ceiving a $10,000 fee from the Lustron Corporation of Columbus,
Ohio, which was being financed by the Reconstruction Finance Cor-
poration. (See Hearings, pp. 23-28.)
During the 80th Congress, Senator McCarthy was a member of the
Banking and Currency Committee, which Committee had jurisdiction
over both the RFC and the Housing Agencies, as well as the Com-
mittee on Expenditures in the P^xecutive Departments, which Com-
mittee was also interested in some of the Lustron operations.
The Lustron prefabricated steel house, endorsed by various veteran
and other organizations and sponsored by the Housing Agencies in
accordance with the Veterans' P^mergency Housing Act of 1946, was
ultimately financed by the RFC, over its initial objection due to the
fact that the private risk capital involved was negligible. A series of
7 loans totalling $37,500,000 were made between June 30, 1947, and
August 29, 1949.
The venture was a failure; RFC instituted foreclosure on Febru-
ary 14, 1950, and the loss to the Government will reportedly exceed
$30,000,000. Incident to a subsequent inquiry by the Senate Subcom-
mittee on RFC, it was developed that Lustron had been mismanaged;
that frauds had been practiced upon it; and that excessive salaries
were paid officials, such as E. Merl Young, because of alleged influence.
16
Tlie payment of the $10,000 Lustron fee to Senator McCarthy was
also referred to.
Diirin<ij the pertinent period of the Lustron operations, both Lustron
and the RFC were particular!}^ sensitive to the will of the Congress;
Lustron because, aside from an initial relatively negligible investment,
it was entirely financed by public funds; the EFC because its au-
thority expired as of June 30, 1947, and the Congress was obliged to
temporarily extend it for one year until further inquiry was com-
pleted, when the life of the RFC was extended, on June 30, 1948.
On January 14^15, 1948, the Senate Banking and Currency Com-
mittee, at Washington hearings pursuant to its investigation of RFC
operations under S. Res. 132, and its inquiry regarding Lustron, de-
veloped through Lustron president, Carl Strandlund, that he had been
advised of his need for Congressional support of his venture (p. 351),
and that he accordingly did see many Senators and Congressmen to
present the merits of liis project (p. 363) .
Senator McCarthy, a sponsor of the resolution of July 1947 which
created the Joint Committee on Housing, consisting of members of the
Banking and Currency Committees of both the House and the Senate,
took an active part, as Vice Chairman, in its nation-wide hearings on
housing conditions. Upon the completion of the housing inquiry on
March 15, 1948, Senator McCarthy filed his own report reflecting his
views on housing and related proposed legislation, and favored en-
couragement of mass produced homes. He particularly commended
the Housing and Home Finance Administration and recommended
that Administrator Foley's salary be increased.
Various amendments and additions to the Housing Act, after nu-
merous proposals, substitutions, etc., some of which were sponsored by
Senator McCarthy, were ultimately approved by the Senate and were
incorporated into the related housing laws. Section 102 of Public Law
801 (August 10, 1948) authorized the RFC to make loans to pre-fab
manufacturers, aggregating no more than fifty million dollars. This
provision gave the RFC additional funds and authority to make its
third Lustron loan of $7,000,000 on :^ebruary 14, 1949, as well as the
subsequent loans. The Act also provided for an increase in the salary
of the HHFA Administrator.
A few days subseque'nt to the enactment of the new Housing Act,.
Senator McCarthy contacted Administrator Foley to request his assist-
ance for Miss Jean Kerr, of his office, who was working on a housing-
manuscript. The HHFA cooj^erated and assisted her in the compila-
tion of data, etc., through December, 1948. (See testimony of Walter
Moore Royal, Jr., Special Assistant to the HHFA Director of Infor-
mation, before the Privileges and Elections Subconuuittee on May
16, 1952, pp. 293-320.) HHFA Administrator Foley, in a letter dated
Febi'uary 23. 1951, to Senator Maybank, Chairman of the Senate Com-
mittee oil Banking a,nd Currency, outlined in detail the part played by
his agency in the ])reparation oi Senator McCarthy's housing booklet,
their review and corrections of three separate drafts.
These Subcommittee's hearings of IVIay 1952 developed that Senator
McCarthy approached Strandlund during October of 1918, setting a
price of ?^1 0,000 for his housing manuscript, which was "not in pub-
lishal)le form", and that Strandlund agreed toit w- 'lout any prior con-
sultation Avitli his public relations or executive stuif, or notification to
the RFC, and at a time when Lustron had not completed its maclijnery
17
and tooling installation, had a huge backlog of orders and had com-
pleted only a few sample liouses for demonstration purposes. (See
testimony of Carl Straiidlund, Lorenzo Semple, Thomas J. O'SuUivan,
Maron J. Simon, and George E. McConley ; pp. 76-86, 109, 141 ; 188-
193; 194-5; 198-9; 205-6; 217-222; 273, 276-8, 280-1.)
Lustron's purchase of tlie housing article which Senator McCarthy
unsuccessfully attempted to sell to other publishers the previous March
and April, was attributed by him to the fact that Lustron gave him
"the most favorable contract". (See Congressional Record, June 19,
1950, vol. 96, No. 120, pp. A4764-4771, wherein Senator McCarthy
inserted the housing article, his correspondence with several publishers,
and his version of the Lustron phase.)
To appreciate the urgency of the hasty negotiations with Lustron
to obtain a $10,000 fee on November 12, 1948, it is essential that we
consider Senator McCarthy's over-extended debt position at the Apple-
ton State Bank, which became quite desperate during September
through November of 1948. Although the Bank had notified him
that it was essential that his total bank debt of $72,943.96 be reduced,
or his collateral liquidated (see supporting letters, Exhibits 49-54),
Senator McCarthy did not use the Lustron fee for this purpose but
bought stock with it which he pledged as additional collateral for the
loan. The Lustron check for $10,000, dated November 12, 1948, issued
to "'Joseph R. McCarthy," was endorsed in blank over to Wayne,
Hummer & Co., the Senator's broker (Exhibit 55) to purchase addi-
tional stock of the Seaboard Airlines Railroad.
It may or may not be significant that the Seaboard Airlines Railroad
was also financed by the RFC and at the time indebted to RFC in
excess of $15,000,000. Our inquiry developed that during October
of 1948, Senator McCarthy purchased 1,500 shares of Seaboard com-
mon stock at an average price of $22 per share; that this railroad had
been in receivership since 1930, came out of reorganization in 1946 to
be operated under a voting trust arrangement through April 1, 1951,
and that the Lustron $10,000 fee was used to increase his Seaboard
holdings to 1,950 shares. These holdings were pledged by Senator
McCarthy to support his Appleton bank loans. While it is not known
whether Senator McCarthy's information with respect to this stock
had anything to do with his position as a United States Senator, it is
interesting to note that Senator McCarthy suggested speculation in
Seaboard stocks to others. (See letters dated December 16, 1948,
and January 5, March 2, and March 10, 1949, annexed hereto as
Exhibits 56-59.)
Our inquiry developed information which reflected that at the time
of Senator McCartliy's purchases of Seaboard stock, it did not appear
to an "outsider," or to the uninformed, to be either a good investment
or speculation, particularly since no dividends had been declared since
long prior to receivership in 1930, and, further, because the common
stock was encumbered by the voting trust agreement.
Although the depreciation of the stock market had its consequent
effect upon his pledged collateral, and Senator McCarthy was obliged
to sell 250 shares of Seaboard in 1949 and 1950 at a loss, he resisted
the bank's suggestion that the balance be liquidated, and on August
25, 1950 (Exhibit 60), advised the Appleton State Bank that he had
checked with some of the Directors (not otherwise identified), who
advised against the sale. Senator McCarthy held 1,700 shares until
18
tlie EFC had disposed of its Senboard lioldin<js and, on Septeinbev
12, 1951, he sold 1,000 shares for a net profit of $35,614.75. After
liquidating the bank debts of $45.21-1.40 and a $14,016.31 loan from
G. J. Sensenbrenner, $1,346.16 was remitted to him. Pursuant to his
request of October 3, 1951 (Exhibit 61), the bank returned the re-
mainin,": 700 shares of Seaboard to Senator McCarthy on October 5.
1951 (Exhibit 62).
Seaboard was quoted recently on the New York Stock Exchange
at $113.
The Subcommittee extended to Senator McCarthy, on May 7, 1952,
the opportunity to appear at the scheduled open hearings on Lustron
for the purpose of presenting testimony relating to this specific
charge, as to the Lustron fee. He ignored the invitation but in
a sardonic letter dated May 11, 1952 (Exhibit 21), he discussed the
Subcommittee's misfortune in being deprived of its "star witness."
(The person referred to was Robert Byers, Columbus, Ohio builder^
who apparently just prior to the Subcommittee's May 1952 hearings
had a breakdown. ) Senator McCarthy stated :
If only you had set the hearings 10 days earlier before the Judge committed
your star witness to an institution for the criminally insane, you would not have
been deprived of this important link in the chain of evidence.
It was this same Robert Byers who, under questioning by Senator
McCarthy, at a Joint Committee on Housing hearing at Washington,
D. C. on January 15, 1948 (the same day Carl Strandlund was testi-
fying before the Senate Banking and Currency Committee as indi-
cated above) recommended a thorough investigation of Lustron
(Part 5, pp. 5912-3, Joint Committee on Housing, 80th Congress).
Our inquiry failed to develop any indication that action was taken on
iNIr. Byers' recommendation. It was also the same Robert Byei^ who
engaged Senator McCarthy on two separate occasions to appear at
promotional dinners at Columbus, Ohio, for a fee of $500 and expenses
in connection with the Byers' Housing Project (see testimony of
Clark Wideman, Public Relations Counsel for the Byers' firm at Sub-
committee's hearing of 5/15/52, pp. 258, 260-2) . It would also appear
to be the same Robert Byers to whom Senator McCarthy referred on
page 5 of his individual report to the Joint Committee on Housing,
as follows :
The main outstanding example of what a builder of conventional houses can do
was found in Cohraibus, Ohio where very attractive Veterans houses are being
built in sizable quantities to be sold at approximately $4,000.
From such facts the obvious questions which suggest themselves,
particularly in the absence of any explanation from Senator Mc-
Carthy, are :
Are there other instances where Senator McCarthy received some
consideration from persons or agencies that he was in a position to
assist or hurt in his official position as a United States Senator?
How can Senator ^IcCarthy justify acceptance of a $10,000 fee
from Lustron, wliich, in effect, was a fee being paid out of public
funds, at a time when Lustron's continued operations and financing
depended entirely upon the RFC, and which Agency, in turn, was de-
pendent upon the Congress and, more particularly, the Banking and
Currency Committee, of which has was a member, for its continued
authority and operation ?
19
Did Senator IMcCartliy take advantage of Lustron's sensitive posi-
tion and its need for continued government financing to induce its
president, Carl Strandlund, to pay a fee, set by him at $10,000, for a
manuscript which was neither finished or in publishable form, with-
out any prior consultation with Lustron'spublic relations or executive
staff and without notification to the KFC?
Was there any connection between Senator McCarthy's recommen-
dations for government aid to pre-fab manufacturers and his subse-
quent contacts with Lustron, which culminated in his receiving
$10,000 for the sale of his manuscript ?
Was there any relationship between Senator McCarthy's position
as a member of the Senate Banking and Currency Committee and his
receipt of confidential information relating to the stock of the Sea-
board Airlines Railroad, which was indebted to the RFC for sums
in excess of $15,000,000 ^
Does Senator McCarthy consider that his requests for the active
assistance of the HHFA in the preparation of a housing manuscript,
which he intended to sell, after he had recommended legislation to
increase the salary of its Administrator, to be ethical ?
Whether Funds Supplied to Senator McCarthy to Fight Commu-
nism or for Other Specific Purposes Were Diverted to His Own
Use
Senator Joseph R. McCarthy, according to his own statement, as
set forth in his publication entitled, "McCarthyism — The Fight for
America*', published in 1952, "launched the public phase" of his fight
"to expose Communists and Communist treason in Government", on
February 9, 1950, at Wheeling, W. Va.
Subsequent to this, there was widespread publicity concerning Sen-
ator McCarthy's activities and reportedly some news commentators
suggested that their listeners send contributions to assist the Senator.
The Subcommittee received unconfirmed reports that Senator Mc-
Carthy's office received a substantial number of contributions, somo
of which at least he was using for his own benefit and unrelated
activities.
It was for this reason, therefore, that the Senator was asked in the
Subcommittee's letter of November 21, 1952 (Exhibit 41), whether
any funds collected or received to conduct activities, including those
related to "Communism," were ever diverted and used for other pur-
poses inuring to his personal advantage. His answer to this query,
as contained in his letter of December 1, 1952 (P^xhibit 45), was "No".
Senator McCarthy not having made himself available for further
explanation concerning these matters, the Subcommittee is obliged to
report the results of the investigation conducted in this regard.
The Bentley-Van Straten transaction
On May 5, 1950, Senator McCarthy opened a special checking
account at the Riggs National Bank, Pennsj'lvania Avenue at 15th
Street NW., Washington, D. C. At this time, he also maintained a
regular checking account at the same institution. These accounts will
be referred to later in the report and as will be indicated, the Subcom-
mittee has reason to believe that the special account v.-as opened and
used by Senator ^IcCarthy as a depository of funds received for anti-
communist activities.
20
However, on September 7, 1950, Senator McCarthy opened sav-
ings account No. 62950 with the National Savings and Trust Com-
pany, Washington, D. C. (Exhibit 64), by depositing $10,500. This
deposit, represented by a deposit ticket dated September 7, 1950 (Ex-
hibit 65), consisted of $500 in currency, a $7,000 check drawn on a
District of Columbia bank, and a check for $3,000 drawn on a Mich-
igan bank. Investigation developed that the $3,000 item was a check
drawn bv Alvin M. Bentley on The Manufacturers National Bank of
Detroit dated September 5, 1950 (Exhibit 66). The $7,000 check was
traced to tlie Riggs National Bank, Dupont Branch, account of ]\Irs.
Arvilla P. Bentley (Exhibit 67). The source of tlie $500 in currency
is not known, but it might be significant that a check for $500 issued to
cash was charged to the special account of Joe McCarthy with the
Riggs National Bank on September 5, 1950. This account will be
referred to later in the report.
When interviewed in Owosso, Mich., on October 29, 1952, by an
investigator for the Subcommittee, Mr. Alvin M. Bentley declared
that he issued his check to Senator McCarthy to assist him in his fight
against communism in government, but declared that at Senator ^Ic-
Carthy's suggestion, the amount was considered a loan rather than
a gift and tliat he took Senator McCarthy's five-year note as evi-
dence of the indebtedness. He advised he believed the note was non-
interest bearing. Mr. Bentley declared that there was no agreement
as to the manner in which the funds were to be disbursed; that Sen-
ator McCarthy would not have accepted the money if there had been
any conditions attached; and that he (Bentley) did not care how
the money was expended so long as it was expended in furtherance
of the anti-comnumistic fight. Mr. Bentley volunteered further that
lie would be disappointed if he later learned that Senator ]\IcCarthy
"had used the money for gambling or to advance his personal financial
condition."
On Wednesday, November 26, 1952, investigators of the Subcommit-
tee attempted to interview Mrs. Arvilla P. Bentley at her home in
Washington, D. C, by telephone, but she declared that she was con-
fined to her home by illness and her physician had ordered her not to
see anyone. When asked if she had ever given any money to Senator
McCarthy, she replied that she had never given Senator INIcCarthy
any mone}' for political purposes. When she was asked if she had ever
loaned inoney to Senator McCarthy, she stated that she would decline
to answer that question until she had an opportunity to consult her
attorney. Her attorney was subsequently interviewed and he advised
that he would attempt to arrange for investigators to interrogate Mrs.
Bentley on Monday, December 1, 1952. When Mrs. Bentley's attorney
was iriterviewed by telephone on that date, he advised that he had
Tieen informed that Mrs. Bentley had gone to Florida on Friday,
November 28, 1952, on the orders of her physician, and that her where-
abouts were unknown. Incidentally, Mrs. Bentley also, on March 22,
1951, issued her check to Senator JNIcCarthy in the amount of $3,657,
the proceeds of which check were deposited in Senator ISIcCarthy's
general account. The Subcommittee also desired to obtain some infor-
mation regarding this payment.
With respect to the disposition of the funds obtained from the
Bentlevs and placed in this savings account, investigation revealed
the following: On September 29, 1950, approximately three weeks
21
after the savinfjs account was opened. Senator McCarthy, by letter
to the National Savino;s and Trust Company (Exhibit G8) , authorized
Miss Jean F. Kerr, his secretary, to withdraw $10,000 from the account.
The funds withdrawn were used to purchase a draft at the same
bank, drawn on the Continental Illinois National Bank and Trust
Company of Chicago and payable to Henry J. Van Straten (Exhibit
69). Van Straten is a long time friend of Senator McCarthy and,
for a number of years, has been County Superintendent of Schools at
Appleton, Wisconsin. The draft was endorsed by Henry J. Van
Straten and forwarded to "Wayne, Hummer & Co., and on October 3,
1950, the $10,000 was credited to Van Straten (Exhibit 70).
Upon deposit of the $10,000 with Wayne, Hummer & Co., Van
Straten purchased on margin the following (Exhibit 70) :
Purchase 10/2/50 1.5,000 Ini. January Soy Beans ^ $2,371/4
Turchase 10/10/50 5,000 bu. January Soy Beans (S? $2.;}9i4
Purchase 10/19/50 5.000 bu. January Soy Beans (a^ $2.44
Purchase 10/27/50 5,000 bu. January Soy Beans @ $2,571^
As of November 27, 1950, unrealized profit in respect to the 30,000
bushels of January Soy Beans was approximately $17,500; and suffi-
cient to margin the account. On that date, Wayne, Hummer & Co.
issued its check #10 to Henry J. Van Straten drawn on the First
National Bank, Appleton, Wisconsin, for $10,000 (Exhibit 71). The
cheik was endorsed to Joe McCarthy and deposited by Senator
McCarthy in his general account at the Kiggs National Bank on
December 4, 1950 (Exhibit 72).
It is of interest to note the market action of January soy beans
futures in connection with Van Straten's speculation in that com-
modity. From a high of $2.63 per bushel on August 1, 1950, the trend
was downward until the last week in September when the market
appeared to firm at from $2,351/2 to $2,381/2. The market fluctuated
the first two weeks in October and dropped to $2.30 on October 14,
1950. Thereafter, the trend was steadily upward and, on November
18, 1950, January soy bean futures were quoted at $2.96i/i-$2.95i/^.
On December 13, 1950, 20,000 bushels of January soy beans were
sold at a profit of $11,265.50 (Exhibit 70), and on January 2, 1951,
10,000 bushels were sold at a profit of $6,089 (Exhibit 73), or a total
realized profit of $17,354.50. On December 19, 1950, Wayne, Plummer
& Co. issued its check to Van Straten for $1,500.00 (p:xhibit 74), and
on January 16, 1951, issued its check for $3,000 (Exhibit 75). The
proceeds of the check for $1,500 and $2,600 of the proceeds of the
check for $3,000 were deposited in Van Straten's account with the
Appleton State Bank (Exhibits 76-77) . On February 1, 1951, a check
for $2,365.38, in payment of the balance due on Van Straten's Federal
Income Taxes for 1950, was charged to his Appleton State Bank
account, and on April 10, 1951, a check for $839.41, being Van Straten's
Wisconsin state income tax payment for 1950, was charged to the
Appleton State Bank account. (See Van Straten's ledger sheets,
Exhibit 78.)
There was a balance of $12,854.50 left in the trading account, which
was used for furtlier commodity speculation and which resulted in
losses of $2,740.89 between March 1, 1951, and the time when the
account was examined on August 11, 1952. Net cash withdrawals of
$4,375.16 during this period, left a cash balance of $5,738.45 in the
account as of the August, 1952 date.
22
All of the cash withdrawn from this account, which was transferred
to Goodbody & Co., with the exception of the $10,000 traced to Senator
McCarthy's account, was deposited in Van Straten's account with the
Appleton State Bank (See Van Straten's ledger sheets, Exhibit 78),
but the final disposition of this cash is not known to the Subcommittee.
When Van Straten was interrogated by a Subcommittee investigator
in regard to the $10,000 market operation, he declared that the money
used was his own and that the trading decisions were the result of his
own interpretation of market conditions. When informed that infor-
mation indicated that the $10,000 used to open the commodity ac-
count on October 3, 1950, was not his. Van Straten stated that he
considered borrowed money his personally owned funds, but declined
to give further information.
The result of speculative operations of Van Straten which were
financed by himself, as contrasted with the result of the transaction
financed by Senator McCarthy, should be noted. On November 23,
1945, Van Straten opened a securities trading account with Wayne,
Hummer & Co., and on November 18, 1946, he opened a securities
trading account with Paine, Webber, Jackson & Curtis. His trading
operations in securities, as reflected by these accounts, through April
30, 1952, resulted in a loss of $3,196.29 (Exhibit 79). Van Straten
opened a commodity trading account with Paine, Webber, Jackson &
Curtis on August 28, 1951. The result of trading in commodities
through this account to April 28, 1952, resulted in a loss of $3,172.50
(Exhibit 80) . Van Straten oj^ened a commodity trading account with
Wayne, Hummer & Co., on September 8, 1949, and closed it on July
27, 1950. Trading in this account during that period resulted in a
loss of $675.65 (Exhibit 81). In contrast to these losses totaling
$7,043.27, a profit of $17,354.50 was made between October 3, 1950,
and January 2, 1951, on the transactions financed by Senator McCarthy
with money obtained from the Bentleys.
In view of the above facts the following questions remain un-
answered :
Why would Senator McCarthy borrow money for his fight against
communism, as indicated by Mr. Alvin Bentley, the source of $3,000
of the $10,000 involved, for the purpose of depositing it in a savings
account ?
Was the $7,000 obtained from Mrs. Bentley on the same date also
to aid Senator McCarthy in his alleged anti-communistic fight ?
Was the $3,657.00 obtained from Mrs. Bentley in March 1951, and
deposited by Senator McCarthy in his general account on March 28,
1951, for the same purpose and, if so, why was it deposited in his
general account?
Did Senator McCarthy give Mrs. Bentley notes for the monies
obtained?
Why did Senator McCarthy give Mr. Alvin Bentley a five-year
non-interest-bearing note for $3,000, when Mr. Bentley was willing to
donate that amount and did it have any bearing with respect to the
payment of future income taxes?
23
If Senator McCarthy obtained at least $3,000 of the $10,000 in-
volved, as reported by Mr. Rentley, for his anti-communistic fight, was
not this money, in a sense, a trust fund '.
AVas the $10,000 Van Straten con)modity speculation actually for
the benefit of Senator McCarthy, or a partnership account?
Why would Senator McCarthy speculate with funds advanced to
him for his anti-communistic drive, or loan such funds to a friend
for speculative puri)oses, particularly when the friend's only expe-
I'ience in the commodity market was limited and unsuccessful?
Did Senator Mc(\irthy have confidential information with re-
spect to the trend of the soybean future market? (Just prior to the
transaction in question, the Commodity Exchange Authority of the
Department of AgricuUure conducted an investigation of alleged soy-
bean nuirket manipulation involving, among others, a number of
Chinese traders.)
"Was the $10,000 Wayne Hununer & Co. check, dated November
27, 1950, which Van Straten endorsed over to Senator McCarthy a
return of the original investment and, if so, why was it deposited in
Senator McCarthy's general account?
Senator McCarthy's special account
As previously stated, Senator McCarthy, on May 5, 1950, opened a
special checking account at the Riggs National Bank. The opening
deposit in this Special Account was in the total amount of $1,292.00
and consisted of $35.00 in cash and various checks (45) totaling
$1,257.00.
Subsequently, the following additional deposits were made in this
special account. The total of each deposit, the amount of cash in-
cluded in each deposit, the total and number of checks in each de-
posit, are as follows :
Checks and monry orders Total
Date deposit made • Cash Amount Number deposit
May 8. 1950 $147.00 .$430.00 35 .$577.00
May 11, 1950 70.00 1,692.20 62 1,762.20
May 16, 19.50 1,312.00 03 1,312.00
Mav 19. 1950 2.00 1 2.00
May 23, 1950 1.00 1 1.00
May 26, 19.50 1, 517. .50 21 1,517.50
June 2, 1950 866.37 26 866.37
June 15, 19.50 413. .50 26 413. .50
June 20, 19.50 2,096.00 19 2,096.00
June 23, 19.50 908^00 19 908.00
.Tulv .3. 19.50 58.5.00 6 585.00
Julv 11, 19.50 861.00 9 861.00
Jnlv 24, 19.50 1,527.00 13 1,527.00
Aug. 10, 19.50 1.00 44.3.65 20 444.65
Sept. 11, 1950 207.50 14 207.50
Oct. 3. 19.50 5S.3. 19 27 583. 19
Nov. 20, 19.50 61.61 120.00 13 184.61
Dec. 20, 19.50 30.00 2,58.00 17 288.00
Jan. 11, 19.51 100.00 19.5.00 13 29.5.00
Jan. 22. 1951 1,075.00 3 1,075.00
Feb. 20, 1951 131.. 50 8 131.. 50
Mar. 1, 1951 10.00 50. (tO 1 60.00
Apr. 18, 19.51 71.00 5 71.00
May 28, 19.51 25. OU 3 2.5. 00
June 18, 19.51 60.00 3 60.00
Account closed as of June 20, 1951, and then reopened Aug. 24, 19.51.
24
Date deposit made Cash
Aug. 24, 1951
Sept. 3, 1951*
Oct. 23, 1951 56. 00
Dec. 5, 1951 14.00
Jan. 14, 1952 17.00
Account closed as of Mar. 4, 1952, and
Mar. 17, 1952 $28.00
May 5, 1952 22. 00
May 19, 1952
May 26, 1952 28.00
July 15, 1952 2.20
Aug. 4, 1952
Aug. 11, 1952 6.00
Aug. 11, 1952 6.00
Sept. 3, 1952 15. 00
Since the inception of this Special Account the following total de-
posits were made therein :
1950 $15, 428. 52
2951 2 591, 75
1952 "(up to 11/4/52 ) _IIII__II__IIII"_"I_~I1I__~ _I "IIIIII 2, l\i. 70
Checks and
monej
orders
Total
Amount
Number
deposit
$269. 00
16
$269. 00
170. 00
170. 00
245.00
5
301.00
120. 25
9
134. 25
69.00
8
86.00
1 reopened Mar.
17, 1952.
$740. 00
3
$768. 00
83.50
11
105.50
75.00
3
75.00
60.00
3
88.00
7.50
2
9.70
35.00
1
35.00
50.00
2
56.00
6.00
200.00
12
215. 00
Total $20, 732. 97
Of these deposits, $693.81 was in cash; the remainder in checks
and/or money orders.
Considering the proximity of the date on which this special account
was opened, May 5, 1950, to that of February 9, 1950, when Senator
McCarthy began the so-called "public phase" of his fight against
communism, and considering the types of deposits made therein, it is
believed logical to assume that the account was opened and used as a
depository for funds received by Senator McCarthy to finance anti-
communists activities. This assumption was enhanced by information
supplied by the makers of two of the larger checks included in the
aforementioned deposits.
The deposit of May 11, 1950 (Exhibit 82), included a check dated
May 8, 1950, in the amount of $1,000.00 drawn on the Lee County
Savings Bank, Fort Madison, Iowa, and signed "C. R. Sheaffer, by L.
J. Frantz". An interview was had with Leonard J. Frantz, the actual
maker of the aforedescribed check. Mr. Frantz identified himself as
Secretary of the W. A. Sheaffer Pen Company, Fort Madison, Iowa,
and also identified C. R. Sheaffer as Craig R. Sheaffer, President of
the same company. According to Mr. Frantz, he had never met Sen-
ator McCarthy. It was his opinion that Mr. Sheaffer had also never
met the Senator. He stated that Mr. Sheaffer had read newspaper
accounts of "McCarthy's attack on communists in Government", and
had written the Senator on May 1, 1950, commending the latter's efforts.
Frantz also said that Mr. Sheaffer had offered, in his letter of May 1, to
send Senator McCarthy $1,000, if he needed it and providing that it
would not be embarrassing for him, McCarthy, to accept it. Senator
McCarthy, Frantz said, answered Mr. Sheaffer's communication by
letter dated May 4, 1950. In this reply, McCarthy informed Sheaffer
that he did have a lot of expenses in connection with his anti-commu-
nistic fight and would appreciate financial assistance. Thereafter,
i
25
Frantz, on the instructions of Mr. Sheaffer, issued and sent to Senator
McCarthy, Mr. Sheaffer's personal check for $1,000, Frantz related
tliat Mr. SheatFer had not made any additional contributions to Sena-
tor McCarthy, nor had he received any further requests for funds.
Frantz said that Mr. Shealfer, in giving the money, did not specify as
to how it was to be expended. In conclusion, Mr. Frantz informed
that Mr. Sheaffer was not generally active in "anti-Communist work"
and had contributed to Senator McCarthy because of the newspaper
publicity the latter was receiving at the time.
The deposit of June 23, 1950 (Exhibit 83), included a check for
$500 drawn by ''B. Peyton" on the Guaranty Trust Company, Fifth
Avenue Ollice, New York, N. Y. "B. Peyton" was subsequently
identified as Bernard Peyton, President, New York Air Brake Com-
pany, 420 Lexington Avenue, New York, N. Y. When interviewed,
Mr. Peyton advised to the following effect :
He tirst met Senator McCarthy at a "businessmen's association"
meeting, and was very much impressed with the Senator as a speaker.
Following the Senator's speech, he asked Senator McCarthy how he
could help, and the Senator replied that he could use contributions to
run down the "rascals and communists in Government". A day or so
later, on June 21, 1950, Peyton mailed Senator McCarthy a check,
drawn on the Guaranty Trust Company of New York City, in the
amount of $500.
Interviews with persons who were identified from checks deposited
in Senator ^IcCarthy's special account were limited to the above. The
makers of other checks deposited in this account, whose identities have
been established, are retained in subcommittee files.
The ledger sheets and deposit tickets of this special account are
attached as Exhibit 84 and Exhibit 85.
From the investigation to date, there has been no indication as
to what percentage of the funds, obtained by Senator McCarthy for
his so-called anti-Communist activities, were deposited in this special
account at the Riggs Bank; whether other deposits in the savings
account established at the National Savings and Trust Company were
of this nature; whether there were other bank acocunts, not known,
so employed; or whether any such funds were deposited in Senator
McCarthy's other known general accounts or in the bank accounts of
his associates.
An attempt was made to examine every check which had been issued
from the special account of Senator McCarthy at the Riggs National
Bank. However, checks charged to the account prior to August 28,
1950 were not available. The account, it will be recalled, was opened
May 5, 1950. Further, of the checks charged subsequent to August
28, 1950, some could not be located by the Bank, some were illegible
and the payees could not be determined.
There were a total of approximately 180 items charged against this
special account, but only 78 of these items could be identified. As was
previously pointed out, the greater part of the items either were not
available or were illegible.
Even though Senator McCarthy has refused to cooperate with the
Subcommittee, the list of the payees of these checks is not being in-
cluded in this report — lest it be said that an attempt was being made
to expose Senator McCarthy's method of operations and his inform-
ants. However, at least without explanation, no connection could be
26
established between many of the disbursements from this account and
any possible anti-communist campaign, including, for example, a
check to the Collector of Internal Revenue for $73.80 on October 2,
1950, at a time when Senator McCarthy's Riggs general account ap-
pears to have been overdrawn ; a check to his Administrative Assistant,
Ray Kiermas, for $1,300 on September 29, 1950, at a time when his
general account reflected a balance of $495.76 ; a "Cash" check of $200
on October 20, 1950, when it appears his general account was over-
drawn ; and, as indicated previously in this report, a check for $500 to
"Cash", charged to the special account on September 5, 1950, which
cash apparently was deposited in his savings account at the National
Savings and Trust Company.
It is of possible significance that the deposits to Senator McCarthy's
general account at the Riggs National Bank and the deposits to the
account of his Administrative Assistant, Ray Kiermas, at the same
Bank, increased contemporaneously with the advent of the "public
phase" of Senator McCarthy's "fight" to expose communists and
communist treason in Government.
McCarthy —
Regular Special Kiermas
1949 $31, 260. 06 $11, 194. 70
1950 34,171.32 .$15,428.52 26,526.90
1951 34,897.10 2,591.75 27,587.63
1952 27,851.68 2,712.70 19,000.00
The ledger cards of Senator McCarthy's general account are at-
tached as Exhibit 86 and those for the account of Mr. Kiermas as
Exhibit 87. The deposit slips and identified checks applicable to
each account are retained in the Subcommittee files.
The questions which arise from all of the above facts, are obvious.
A review of the deposits made to the Special and General Accounts
indicates the definite possibility that Senator McCarthy has received
contributions for purposes other than that of assisting in his anti-
communist activities. As examples, reference might be made to an
item, deposited in the Special Account, whicli came from B. C. Behren.
The check provided Senator McCarthy by B. C. Behren reflected the
notation "Donation — Investigating Fund — Office Expense". It could
have been a contribution for purposes other than anti-communist en-
deavors. Frank M. Porter, President, Fain-Porter Drilling Company,
Oklahoma City, Okla., when interviewed November 14, 1952, reported
that he had contributed $500 to Senator McCarthy in 1949 with "no
strings attached" and that the Senator could use the money any way
he saw fit. Senator McCarthy deposited the check from ISIr. Porter
in his Regular Account at Ricgs National Bank on August 10, 1949.
(Exhibit 88.)
In view of the known disposition of certain funds, received to fight
communism, for other purposes the question naturally arose as to
whether therfe were other payments made to Senator McCarthy for
special purposes which were used by him in some other manner.
Due to the difficult task of tracing deposits through the bank rec-
ords, as in the Special Account, only a small percentage of the de-
posits in the General Account were traced to their source. A list of
27
such items relating to the General Account, and not mentioned else-
where in this report, are retained in the subcommittee files.
Whether Senator McCarthy Used Close Associates and Members
of His Family to Secrete Receipts, Income, Commodity and
Stock Speculation and Other Financial Transactions for
Ulterior Motives
In this connection there lias already been set forth the transactions
which Senator McCarthy had with Henry J. Van Straten with funds
obtained from the Bent leys.
Senator McCarthy''s 1044 primary campaign for the Setxate
In 1942, Senator jNIcCarthy ventured into the security market with
a modest investment of approximately $2,200. Through the medium
of a 40 percent margin account with Wayne Hunnner & Company,
Chicago, 111., supported by sensational advances in security prices, he
was enabled to build up his initial investment into such substantial
proportions that in 1948 he realized a net profit of $40,561.67. (For
a schedule reflecting these profits, see Exhibit 89.) This profit was
not withdrawn by him from his trading account until 1944, during
which vear he received from Wavne Hummer & Company approxi-
mately ^$46,000 (Exhibit 90). It appears that $11,100 of this $46,000
was given to him in Government bonds in lieu of cash, and $6,000
was deposited to his account at the Citizens State Bank, Shawano,
Wis. On October 7, 1944, an account was opened with Dean Witter &
Company, Los Angeles, Calif., with a deposit of $6,250, and on October
9, 1944, this account was credited with an additional $5,000. Investi-
gation has been unable to account for the balance of this approximate
$46,000.
Senator McCarthy was a candidate for the Republican nomination
for United States Senator in the primary election held in Wisconsin
on August 15, 1944. He was defeated by Senator Alexander Wiley.
''The Committee to Elect Joseph R. McCarthy to the U. S. Senate",
by Margaret F. Hagene, its secretary, filed affidavits with the Secre-
tary of State of Wisconsin on August 5, 1944, and August 18, 1944
(Exhibit 101), reflecting receipts from the following:
May 12, 1944— iroward McCarthy (brother) $1,100.00
May 12, 1944— Tim McCarthy (father) 4,0(i0. 00
June 14, 1944 — Roman Kornely (brother-in-law) 3,000.00
June 14, 1944— Howard McCarthy 3. 100. 00
August 2, 1944— Howard McCarthy 1,400.00
August 4, 1944^Howard McCarthy 5, OOO 00
$17, 600. 00
Others 2, 208. 95
$19, 808. 95
In that these relatives of Senator McCarthy do not appear to be
people of substantial means and for the further reason that Senator
McCarthy made a profit on securities transactions in excess of $40,000
in 1943 (Exhibit 89) and withdrew mo.st of these profits in 1944 prior
to the August 14 primary election, it might appear possible that the
28
$17,600 allegedly contributed by Senator McCarthy's relatives, were,
in fact, personal expenditures of Senator McCarthy. Following is a
list of withdrawals by Senator McCarthy from Wayne Hummer &
Company in 1944, the ultimate disposition of which is unknown:
1
March 1, 1944 $500.00
March 27, 1944 500. 00
April 10, 1944 500.00
May 1, 1944 500.00
May 3, 1944 11,100.00
May 3, 1944 4,025.55
May 12, 1944 196. 55
May 12, 1944 603. 45
May 24, 1944 1, 000. Ob
May 27, 1944 1, 000. 00
June 6, 1944 2, 000. 00
June 7, 1944 3, 000. 00
June 28, 1944 2, 500. 00
July 6, 1944 1,800.00
July 10, 1944 5, 500. 00
July 14, 1944 1, 000. 00
July 14, 1944 3, 000. 00
August 7, 1944 200.00
August 10, 1944 500. 00
October 6, 1944 653.00
$40, 078. 55
In 1944, Senator McCarthy received $11,100 in Government bonds
and, during that year, he deposited $11,250 with Dean Witter & Com-
pany, Los Angeles. These two items, together with the $17,600 al-
legedly contributed by his relatives to his 1944 primary campaign ap-
proximates the total withdrawals from Wayne Hummer & Company
in 1944, which have not been traced. If the payments totalling $17,
600 were not those of Senator McCarthy, it would seem most unusual
that the Senator would have called upon his relatives for financial
assistance to the extent indicated immediately after he had profited by
more than $40,000 in his market operations.
Although it would not appear that Senator McCarthy would have
permitted Margaret F. Hagene to file an affidavit containing informa-
tion which Senator McCarthy knew to be false, it is significant to note
that the "Committee to Elect Joseph R. McCarthy to the U. S. Sen-
ate" reported that it received $5,100 from Howard and Tim ^McCarthy
on May 12, 1944 (Exhibit 101) and the records of Wayne Hummer &
Company reflect that Senator McCarthy withdrew stock market profits
totalling $17,925.55 between March 1, 1944, and May 12, 1944, which are
not otherwise accounted for. Included in this total is $11,100 which
was presumably used to purchase Government bonds in which event
there is $6,825.55 remaining unaccounted for.
The Committee reportedly received $6,100 from Roman Kornely and
Howard McCarthy on June 14, 1944, and the Wayne Hummer & Com-
pany records reveal that Senator McCarthy withdrew stock trans-
action profits of $7,000 between May 24, 1944, and June 7, 1944. The
Committee reportedly received $6,400 from Howard McCarthy on Au-
gust 2 and 4, 1944, and the records of the broker disclose that between
June 28, 1944, and July 14, 1944, Senator McCarthy withdrew $13,800
in profits. Although the figures cited are not conclusive, it is singular
that on or about the dates that the Committee received amounts from
relatives of Senator McCarthy that Senator McCarthy withdrew stock
market profits somewhat in excess of the amounts reported by the
Committee.
29
It might be of further significance that the only amounts reported
as being received from relatives of Senator McCarthy in his 1946
campaign for the primary and general elections are :
Roman Kornely (brother in law) $50.00
Howard McCarthy (brother) 49.^0
Olive Kornely (sister) 49.50
Tim McCarthy (father) 5G4. 74
(Exhibits 138 and 140.)
William P. McCarthy transactions
William P. McCarthy, a brother of Senator McCarthy, is employed
in Chicago, Illinois, as a truck driver. He resides in a modest home
at 1938 Wolfram Street, Chicago, and appears to be a man of only mod-
erate means. There is no evidence that William P. McCarthy had
any experience in the commodity market prior to August 27, 1948.
On or about August 27, 1948,' William P. McCarthy opened an ac-
count with Daniel F. Rice & Company (Exhibits 111 and 118) by
depositing $10,000, When interviewed on June 19, 1952, by a Sub-
conmiittee investigator, William P. McCarthy declared that the
$10,000 was received by him from Senator McCarthy, and represented
the repayment of previous loans totalling $7,000 which he had made
to Senator McCarthy since 1927, and $3,000 representing a loan by
the Senator to him.
Investigation revealed that the $10,000 deposited with Daniel F.
Rice & Company was comprised of three items: (1) a bank draft
drawn on Drovers National Bank by the Appleton State Bank on
August 25, 1948, in favor of Ray Kiermas (Senator McCarthy's Ad-
ministrative Assistant) for $5,000 (Exhibits 112 and 118) . This draft
was endorsed by Kiermas to the order of Daniel F. Rice 8c Company
for the account of William P. McCarthy; (2) check for $1,223.72 on
the account of Rav Kiermas at Riggs National Bank, dated August
30, 1948 (Exhibits 113 and 118); and (3) an item for $3,776.28,
drawn on the Appleton State Bank, which that Bank has been un-
able to identify.
William P. McCarthy began his market operations on September 23,
1948, by selling 10,000 bushels of July wheat short (Exhibit 114).
That particular transaction resulted in a loss of $1,367.50, but his
overall operations for the i^eriod lending December 7, 1948, resulted
in a profit of $2,967.50. There were no more trades prior to Febru-
ary 10, 1949, at which time $10,000 was withdrawn from the account,
leaving a balance in the account of $2,967.50. The $10,000 was trans-
ferred by Daniel F. Rice & Company to the Appleton State Bank
through the Continental Illinois National Bank and Trust Company
of Chicago (Exhibit 115). Against this $10,000, the Appleton State
Bank issued Demand Certificate of Deposit No. 97257 for $10,000
and this Certificate of Deposit, together with an additional $2,613.16,
was used to purchase Appleton State Bank Draft No. 77874, drawn on
Marshall & Ilsley Bank, Milwaukee, to the order of Wayne Hummer &
J. 236027-
30
Company in the amount of $12,613.10, dated March 3, 1949 (Ex-
hibit 116) . The $12,613.10 was used to purchase 500 shares of Dana
Corporation stock, which were issued in the street name of Goodbody
& Co. (Exhibits 117 and 117A), and were pledged as collateral for
Senator McCarthy's loan at the Appleton State Bank.
William P. McCarthy permitted the aforementioned balance of
$2,967.50 to remain inactive in the Daniel F. Rice & Company trading
account from December 7, 1948, until December 5, 1949 (Exhibit 118) ,
despite the fact that he had an interest-bearing savings account at
the First National Bank in Chicago. On December 5, 1949, William
P. McCarthy purchased 10,000 bushels of May corn on margin, which
was sold on December 13, 1949, at a profit of $82.50. There were no
trades until late in 1950, so all through 1950 there was a balance in
the account of $3,050.
On January 29, 1951, William P. McCarthy deposited $2,000 with
Daniel F. Rice & Company, which amount was withdrawn from his
savings account with the First National Bank in Chicago on that date
(Exhibit 119 and Exhibit 126) .
Of possible significance in connection with this deposit are unex-
plained transactions in this savings account of William, which appear
to be direct transfers of cash from Senator McCarthy and are as
follows :
Deposits by William P. McCarthy :
Date : Amount
February 20, 1950 $75.00
April 24, 1950 — 75. 00
Mav 22, 1950 75. 00
June 26, 1950 75. 00
July 17, 1950 75. 00
July 17, 1950 75. 00
July 17, 1950 75. 00
September 25, 1950 750.00
September 25. 1950 750.00
$2, 025. 00
Shortly after each of the above dates, similar amounts were charged
to the general account of Senator McCarthy at the Riggs National
Bank (Exhibit 86). It should be noted that the deposit by William
with Daniel F. Rice & Company of the $2,000 after receiving the above
$2,025.00, appears to be the only time that William took money from
his savings account to play the market.
Trading between December 22, 1950, and March 8, 1951, resulted
in a profit of $2,109.00 and, as of March 8, 1951, William had a credit
balance with Daniel F. Rice & Company of $7,159.00, represented
by trading profits of $3,050 and $2,109, plus $2,000 deposited on Jan-
uary 29, 1951. On March 9, 1951, he closed his account and, on that
date, Daniel F. Rice & Company issued its check to William P.
McCarthy for $7,159 (Exhibit 120). The check was cashed at the
Lincoln National Bank, Chicago, on March 19, 1951.
On March 19, 1951, an account was opened with Daniel F. Rice &
Company in the name of Julia Connolly, which is the maiden name of
Mrs. William P. McCarthy. The account was opened with a cash
deposit of $7,000, being a portion of the proceeds of the $7,159 check
issued by Daniel F. Rice & Company to William P. McCarthy on
31
March 9, 1951. Operations in the name of Julia Connolly in 1951 re-
sulted in a profit of $3,300 and in 1952 to September 4, 1952, in a loss
of $2,912.09 (Exhibit 121), or a net prolit to September 4, 1952, of
$387.91. On March 7, 1952, a check was issued to Julia Connolly by
' Daniel F. Rice & Company in the amount of $1,200. As of September
22, 1952, there was a credit balance of $6,187.91 in the account and
there were no open trades at the time (Exhibit 122). The $6,187.91 is
represented by the following :
Profit 1948-1949— William McCarthy $3, 050. 00
Prolit 1951— William McCarthy 2, 109. 00
Profit 1951-1952— Julia Connolly 387. 91
5, 546. 91
Cash deposited Jan. 29, 1951 $2, 000
Less cash withdrawn March 7, 1952 1, 200
800
Cash withdrawn March 9, 1951 (net) 159
641.00
6, 187. 91
The profits totalling $5,546.91, plus net cash deposits of $641.00 are
still carried in the account of Julia Connolly by Daniel F. Rice &
Company. When interviewed on June 19, 1952, William McCarthy
stated that the account was opened in the name of Julia Connolly
with the idea of concealing the account in the event of an investiga-
tion of Senator McCarthy's alfairs.
The overall trading picture for both accounts shows that during
the period of trading operations, September 23, 1948, to September 4,
1952, a total of 905,000 bushels of commodities were traded in for a
net profit of $5,546.91. Of the total bushels traded, 215,000 bushels
represented short trades resulting in a net profit of $3,668.00, and
690,000 bushels represented long trades resulting in a net profit of
$1,878.91. Commodities traded in were rye, corn, wheat, barley, and
beans.
To be noted are the short operations. Short selling involves much
greater risk than long, and short sales of commodities is a most dan-
gerous form of speculation, in general indulged in only by the most
astute and experienced operators. Tlie first two operations in the
William P. McCarthy account involved a short sale of 10,000 bushels
of July wheat on September 23, 1948, and 5,000 bushels of December
beans on the same day. Apparently, he liad no previous experience in
either security speculation or conunodity speculation and questions
arise as to who or what influenced these trading operations.
William McCarthy formerly resided in Milwaukee and on January
25, 1939, opened a savings account with the First Wisconsin National
Bank of ^Iihvaukee (Exhibit 123). The only substantial deposit in
the account was one of $3,000 made December 10. 1010, the source of
which is not known. The account had a balance of $2,734.12 on March
12, 1942. when it was closed and a joint account was opened in the same
amount with AVilliam P. ]\IcCarthv and Julia MrCni-tliv (Exhibit
124). This account had a balance of $3,124.72 on June 24, 1948, at
which time it was closed and a Casliier's Clieck for that amount was
issued to William P. McCarthy (Exhibit 125).
32
Julia Connolly opened a savings account with the First National
Bank of Chicago prior to 1941, and on September 11, 1942, it was
made a joint account with William P. McCarthy (Exhibit 126).
On July 3, 1948, the check for $3,124.Y2 issued by the First Wisconsin
National Bank was deposited in the First National Bank of Chicago.
According to the Wisconsin State Income Tax Returns, Senator
McCarthy paid William P. McCarthy interest of $2,258.00 in 1949
(Exhibit 127). No portion of this was deposited by William P.
McCarthy in the savings account with the First National Bank of
Chicago and it was not reported as 1949 income by William P.
McCarthy, althoujrh he did report this as 1950 income. None of the
$2,025 paid to William P. McCarthy in 1950 by Senator McCarthy is
shown by the Senator as interest expense in his 1950 State Income Tax
Returns. There is no indication that William P. McCarthy has ever
had the financial capacity to loan anyone an amount that would earn
interest of $2,258 in one year, or even that much interest in several
years.
An attempt was made to interview William P. McCarthy at his
home on November 17, 1952, for the purpose of obtaining an explana-
tion of his unusual transactions, but he declined to be interviewed.
Senator McCarthy has been invited to appear before the Subcommittee
to explain his financial transactions, but has repeatedly declined to
do so.
In view of the above facts the following questions remain unan-
swered.
Was the $10,000 deposited by William P. McCarthy with Daniel F.
Rice & Company on August 27, 1948, received directly or indirectly
from Senator McCarthy? If the $10,000 or any portion of it was
advanced by Ray Kiermas, why was the eventual return of this
amount paid to the Appleton State Bank for the benefit of Senator
McCarthy?
Why did Senator McCarthy advance money to William P. McCarthy
to speculate in the commodity market at a time when he was heavily
indebted to the Appleton State Bank and the Bank was constantly
calling on him for a reduction in the loan or an increase in the
collateral?
Did Senator McCarthy speculate in the commodity market in the
name of his brother, William P. McCarthy, or was the account with
Daniel F. Rice & Co. a partnership account?
Were the payments totalling $2,025.00 by Senator McCarthy to
William P. McCarthy in 1950 made for the purpose of bolstering
the Daniel F. Rice & Company account, and, if so, why were they
not paid directly to the broker ?
On what balance was the $2,258.00 interest reported by Senator
McCarthy as being paid to William P. McCarthy in 1949 and for
how long a period did the payment cover? How was the payment
made — ^by currency or check, etc. ?
The Appleton State Bank transactions
On February 13, 1945, the Appleton State Bank, Appleton, Wis-
consin, loaned Senator McCarthy $1,800 which was used to open a
checking account with that bank. In July, 1945, the bank loaned
Senator McCarthy $73,000 (Exhibit 91) which was used by the
Appleton State Bank to purchase, through its omnibus trading ac-
33
count with "Wayne Hummer & Company, 1.000 shares of Allegheny
Corporation Preferred Stock and $81,000 Central of Georgia Rail-
way Company 5% ISeries C Bonds due April 1, 1959. These securi-
ties were used to collateralize the loan. Additional Central of Georgia
Railway 5% 1959 bonds purchased through his Wayne Hummer &
Company trading account were pledged by Senator McCarthy to the
bank. Senator McCarthy also received $15,960.98 from Wayne
Hummer & Company on July 11, 1945, which was used to purchase
$69,000 Central of Georgia Railway Company 5% Series C bonds
due April 1, 1959, as additional collateral against his Appleton State
Bank indebtedness of $75,000. This $15,960.98 included approxi-
mately $11,000 transferred from Senator McCarthy's account with
Dean Witter & Company plus realized profits of $3,700 in his Wayne
Hummer trading account. The account with the Dean Witter Com-
pany showed a total realized profit of $172.78.
Up to and including December 21, 1945, Senator McCarthy's in-
debtedness to the Appleton State Bank had been reduced to $20,-
364.64, largely from the proceeds of the sale of collateral, but includ-
ing $9,959.23 from an undetermined source. On that date. Senator
McCarthy received a loan of $149,170.06 from the Appleton State
Bank. These funds were used to purchase, through the omnibus ac-
count of the bank with Wayne Hummer & Company, 5,000 shares of
Chicago, ^lilwaukee, St. Paul and Pacific Railroad Company common
stock, which stock was pledged against the indebtedness (Exhibit 92).
This loan increased Senator McCarthy's indebtedness to $169,540.70,
which was $69,540.70 in excess of the bank's statutory loan limitation.
The appearance of compliance with statutory requirements was created
by transferring, on December 26, 1945, $09,540 to a loan ledger sheet
in the name of H. F, McCarthy, a brother of Joseph R. McCarthy.
Securities to collateralize the transferred balance of $69,540 (2,650
shares of Chicago, Milwaukee, St. Paul & Pacific Railroad Company
common stock) owned by Senator McCarthy were transferred (Ex-
hibit 93. In April and May, 1946, proceeds from the sale of 2,400
shares of this stock sold tlirough the omnibus account of the Appleton
State Bank, plus $5,562.54 from an undetermined source, liquidated
this fictitious H. F. McCarthy loan.
As of early in 1940, the total indebtedness of Senator McCarthy to
the bank, including the H. F. McCarthy portion, aggregated $170,-
029.03. During 1946, funds totalling $116,173.69 were applied against
the loan reducing it to $53,855.34. Of this reduction, a total of
$73,127.96 reprepcnted principally proceeds from the sale of collateral ;
$28,401.06 whicli could not be traced to any known bank or brokerage
account, including reductions of $16,675.65 in July and August, 1946;
and $14,044.06 representing funds loaned Senator McCarthy through
friends of tbe president of the bank. Subsequently, in January of
1948. an additional loan of $20,000 was made to Senator McCarthy
and up to and including August 1, 1951, Senator McCarthy's indebt-
edness to the A})pleton State Bank was reduced by $28,855.34 (net),
representing principally proceeds from the sale of stock, thus re-
ducing the balance of the loan account to $45,000. This August 1,
1951, balance of i^45,00O was liquidated on September 14, 1951, by the
sale of collateral.
The overall picture of Senator McCarthy's loan at the Appleton
State Bank (Exhibits 91 and 91A) shows he was loaned a total of
34
approximate!}' $248,000 diirin<i: the period February 13, 1945, to Sep-
tember 14, 1951. Exclusive of the $20,000, the major part of this
$248,000, a sum aggregating $226,000, was loaned in 1945. The largest
outstanding balance at any time was $170,000. The borrowed funds
were used for speculation in securities and the collateral, for the
greater jiart, consisted of securities purchased with the borrowed
funds. The loans were liquidated as follows :
Proceeds of collateral sold and income from dividends $190, 116. 96
Funds from Timothy McCarthy 2,000.00
Funds from F. J. Sensenbrenner 14, 644. 66
Untraced funds 39,900. 89
Checks from Senator McCarthy 1, 242. 43
$247, 904. 94
Untraced funds totalling $39,900.89 could not be traced to proceeds
of securities sold, dividends, or bank accounts of Senator McCarthy.
Of this untraced total, $28,401.06 was credited to Senator McCarthy's
indebtedness in 1946, a year during which his security speculations
resulted in a net realized loss of in excess of $10,000, and a year in which
he won the Republican nomination for United States Senator. This
$39,900 included round amount credits of $5,000, $9,000, $1,000, $2,500,
$1,500, and $3,500.
With further reference to the loan of $20,000 by the Appleton State
Bank to Senator McCarthy early in January 1948, it should be noted
that the loan was made against a $20,000 note of Senator McCarthy
endorsed by Russell M. Arundel, a Washington representative of the
Pepsi-Cola Corporation.
In the latter part of 1947, Matt Schuh, the President of the Apple-
ton State Bank and apparently a close friend of Senator McCarthy,
prodded by his Board of Directors and probably by the State Banking
Department, urged upon Senator McCarthy the immediate necessity
of reducing his indebtedness to the bank by $15,000 or $20,000. After
several communications back and forth between Mr. Schuh and Sen-
ator McCarthy, the bank loaned the Senator $20,000 on January 3, 1948.
The borrowed funds were used to purchase 600 shares of Chicago,
Milwaukee, St. Paul & Pacific Railroad preferred stock. This in-
crease in an already hazardous loan was directly contrary to the ex-
pressed wishes of the Board of Directors of the bank (Exhibit 94),
whose position was probably influenced by Examiners of the State
Banking Department and possibly the FDIC. This $20,000 loan was
reduced to $6,553.04 by the sale of collateral stock for $12,446.96 and
the application on January 3, 1949, of $1,000 of a $1,500 Seaboard
Airlines Railroad common stock dividend. On January 5, 1949, the
balance of $6,553.04 was charged off upon instructions of the State
Banking Department (Exhibit 95). During 1949, Senator McCarthy
paid a total of $1,242.43 against this charged off balance and on No-
vember 27, 1950, the then balance of $5,310.61 was recharged to Senator
McCarthy's loan account. At no time was any attempt made to collect
on this note from the endorser, Russell M. Arundel. The Arundel
situation is commented upon more fully elsewhere in this report.
Of particular interest indicating further the lengths to which Mr.
Schuh, President of the Appleton State Bank, went in respect to
Senator McCarthy's loan, is an arrangement made in April 1947,
regarding interest payments on Senator McCarthy's note. This op-
35
eration, elsewhere referred to in this report, permitted Senator Mc-
Carthy to pay tlie interest due in casli, but to have the cash applied
to the loan principal and set up interest notes in the amount of the
interest paid.
As of early November 1948, the indebtedness of Senator McCarthy
to the Appleton State Bank was $72,000. He had sustained net real-
ized loss in the stock market of $28,000 in 1947 and $^35,000 in 1948.
As of November 22, 23, 24, 25, and 26, 1948, his checkin<^ account at
the Riggs National Bank, Washington, D. C, was overdrawn. The
Appleton State Bank was demanding that he do something about the
Arundel note and suggested that they use the $10,000 savings account
of Ray Kiermas, an employee in Senator McCarthy's office, to reduce
the overdue $20,000 Arundel note (Exhibit 9G). This savings account
of Ray Kiermas was at this time standby collateral for Senator
McCarthy's loan. This figure of $10,000 is to be noted as on Novem-
ber 12, 1948, Senator McCarthy received the $10,000 fee from Lustron
Corporation which was used, not to reduce his Appleton State Bank
indebtedness, but to purchase 450 shares of Seaboard Airlines Railroad
common stock, which was delivered to the Appleton State Bank as
much needed collateral for the loan.
That this $10,000 Lustron fee was a very limited, temporary solu-
tion of the loan collateral situation is indicated by early 1949 letters
between the Appleton State Bank and Senator McCarthy (Exhibit
97). In response to urgent requests for more collateral $10,000 was
transferred from a commodity tradinjr account at Daniel F. Rice &
Company, Chicago, 111., in the name of William P. McCarthy, a brother
of Senator McCarthy, through the Continental Illinois National Bank
of Chicago, on February 10, 1949, to the Appleton State Bank and
was used to acquire additional collateral. This transaction is set forth
in greater detail elsewhere in this report. In late December 1950,
4831/2 shares of Dana Corporation stock were sold and the proceeds
amounting to $6,905.19 were applied against the loan. On January
25, 1950, an additional 350 shares were sold and the proceeds, amount-
ing to $4,796.32 were conveyed to the Appleton State Bank by AVayne
Hummer & Company as part of their check No. 13,561-B, dated Jan-
uary 25, 1950, to the order of Appleton State Bank, in the amount of
$5,889.79. On January 26, 1950, the Appleton State Bank delivered
their Demand Certificate of Deposit No. 100,611 to Ray Kiermas in
the amount of $5,889.79, representing the proceeds of the sale of the
Dana Company stock amounting to $4,796.32 and the proceeds of the
sale of 50 shares of Senator McCarthy's holdings of Seaboard Air-
lines Railroad common stock amounting to $1,093.47. This Certificate
of Deposit was deposited by Kiermas in his Appleton State Bank sav-
ings account on September 7, 1950, seven months later.
This $10,000 from Daniel F. Rice & Company provided no solution
to the margin situation as evidenced by letters between the Appleton
State Bank and Senator McCarthy from June 2, 1949, to May 2, 1950
(Exhibit 98). After May, 1950, the pressure in respect to sufficient
collateral for the loan appears to have lessened due to appreciation in
pledged Seaboard Airlines Railroad stock and substantial coUaterali-
zation of the loan by assets of Rav Kiermas. As of September 14,
1951, the indebtedness of Senator "McCarthy to the Appleton State
Bank aggregated $45,000, and was liquidated on that date by a por-
36
tion of the proceeds of the sale of 1,000 shares of Seaboard Airlines
Railroad Company stock (Exhibit 99).
On January 28, 1952, the Appleton State Bank loaned Senator Mc-
Carthy $12,000 which sum was in turn given to H. F. McCarthy in
the form of an Appleton State Bank Demand Certificate of Deposit
issued to him in the amount of $12,000 on January 28, 1952.
Exhibit 100 sets forth particulars of assets of Ray Kiermas used
to collateralize the Appleton State Bank loan of Senator McCarthy.
Comments regardinor the Kiermas situation, particularly the accept-
ance of the pledge of Ray Kiermas' savings account by his employer
in 1947 and the pledge of the $5,000 mortgage about the time of the
1946 election are made elsewhere in this report.
Appleton State Bank interest manipulation
Under date of April 15, 1947 (Exhibit 105), Senator McCarthy first
broached the plan to pay the interest due on his notes but apply the
payments to the principal and set up interest notes for the interest
paid. Subsequently, when most advantageous to Senator McCarthy,
and at his discretion, the interest note was to be paid and the payment
taken as a tax deduction against income. Senator McCarthy's letter
dated July 12, 1947, to Matt Schuh, President of the Appleton State
Bank (Exhibit 106), again stresses the income tax feature. Under
date of September 2, 1947, (Exhibit 107) Mr. Schuh specifically asked
for a check for $477.00 interest and, in compliance with a subsequent
telephone conversation on September 9, 1947, Ray Kiermas forwarded
Senator McCarthy's check for $500 to the bank (Exhibit 108).
Letters dated October 16, 1947, April 5, 1948, and April 16, 1948,
further explain the operation. In 1949, Senator McCarthy elected
to use interest paid in this manner totalling $6,810.28 as a deduction
against income on his state and federal income tax returns. In 1946,
1947, and 1948, deductions of this $6,810.28 were not needed to establish
a loss in respect to his Wisconsin income tax returns, as filed, because
losses on security transactions operated to eliminate taxable income.
In connection with Senator McCarthy's 1949 Wisconsin state income
tax return, as filed, he listed loss on security transactions of only $2,290
against gross income of $17,120. An interest deduction of $15,172.54,
of which this $6,810.28 was a material part, operated to eliminate tax-
able income for that year.
On Senator McCarthy's 1949 Federal Income Tax Return, this
$6,810.28 deduction furnished a substantial offset to the $10,000 Lustron
fee, which was received in 1948 but reported as income on his 1949
Federal return. It might be observed that Senator McCarthy re-
ported this $10,000 as 1948 income on his Wisconsin tax return for that
year upon instructions from J. L. Tibbetts, Assessor of Incomes, in
answer to an inquiry from Senator McCarthy.
The Wisconsin Department of Taxation, after investigation, dis-
allowed this 1949 deduction of $6,810.28 on the basis that "this interest
was actually paid in cash in the years 1946 and 1947" (Exhibit 110).
The Bureau of Internal Revenue, after investigation, also dis-
allowed this 1949 interest deduction of $6,810.28 as per their audit
report dated June 11, 1951, on the basis of a "schedule supplied
them over the signature of the President of the bank, M. A. Schuh,
which schedule reflects individual items of interest as actually re-
ceived by the bank." The transfer of the $10,000 Lustron fee from
1949 income, as reported by Senator ^IcCarthy, to 1948 income and the
disallowance of the $0,810.28 interest deducted in 1949 were the major
items upon 'which an additional tax of $^3,975. 15 was levied by the
Bureau of Internal Revenue in respect to 1948 and 1949 income.
Senator McCarthy's and Ray Kiermas^ hank accounts
From January 1, 1948, to November 12, 1952, Senator McCarthy
deposited a total of $172,023.18 in his account at the Riggs National
Bank, "Washington, D. C, and durinnj the same period, Ray Kiermas
deposited a total of $90,921.20 (Exhibit 102) . The figure, in respect to
Senator McCarthy's deposits, does not include $10,000 received from
Lustron Corporation in 1948, nor the $10,000 withdrawn from the ac-
count at Daniel F. Rice & Company, Chicago, in the name of William
P. McCarthy in 1949, which transaction is set forth in detail elsewhere
in this report. Tliese two amounts went to "Wayne Ilunmier & Com-
pany, Chicago, and M-ere used to purchase securities which were
pledged as collateral for the Appleton State Bank loan to Senator
McCarthy. Also, it does not include approximately $15,000 in divi-
dends received on securities owned by Senator McCarthy, which divi-
dends were applied to reduce his indebtedness to the Appleton State
Bank.
Investigation revealed only two checks from brokerage houses
($5,449.55) included in the above $172,023.18 deposit figure. It does,
however, include approximately $8,000 representing loans from banks
and loan companies. There were no transfers of appreciable amounts
from other bank accounts in the name of Senator McCarthy.
The total deposit figure of $90,921.20 in respect to Ray Kiermas in-
cludes approximately $13,000 representing checks from brokerage
accounts and transfers from his other accounts deposited in 1951, and
a check from a broker and a transfer of funds totalling $2,934.55
deposited in 1952.
It is to be noted that of the $172,023.18 deposited by Senator Mc-
Carthy a total of $59,592.52 has not been identified as to source, includ-
ing approximately $19,000 in currency deposited. In respect to the
$90,921.20 deposited by Ray Kiermas, a total of $44,908.43 has not been
traced to its source, including $29,230 deposited in currency (Exhibit
103).
Comparison of the total funds deposited by Ray Kiermas in 1950,
1951, and 1952, as against funds deposited by him in 1948 and 1949,
disclosed a substantial increase in respect to the three last years. This
increase is appreciable, particularly as regard 1950 and 1952, even
after deducting the funds representing brokers' checks and transfers
mentioned above. To be noted is, that of the $90,921.20 deposited by
Ray Kiermas from 1948 through 1952, a total of $29,230 (30% of the
total deposited) represented currency deposits, and of this $29,230,
approximately $21,000 represented individual deposits in excess of
$300 each, and 12 individual deposits ranging in amounts from $700
to $2,405 accounted for $14,000 of this $21,000.
Substantial funds were passed to and from Senator McCarthy and
Ray Kiermas. From March, 1947 to May, 1952, $10,380.22 passed from
Ray Kiermas to Senator McCarthy, including $1,400 identified on the
deposit slip as "Art Kiermas", and $13,047.92 from Senator McCarthy
to Ray Kiermas (Exhibit 104).
38
Illustrative of tlieir circuitous financial transactions is a December,
1951, transaction. On December 5, 1951. Senator McCarthy received
a loan from the Riggs National Bank, Washington, D. C, of $G,000
against his demand note secured by 200 shares of Seaboard Air Line
Railroad Company common stock. With this $6,000 he purchased two
Cashier's Checks, one in the amount of $4,500 and one for $1,500. The
$4,500 check he deposited in his regular checking account at the Riggs
National Bank on December 21, 1951, together with a $2,000 check of
Ray Kiermas for a total deposit of $6,500. The Cashier's Check in
the amount of $1,500 was deposited in the Riggs National Bank ac-
count of Ray Kiermas on December 10, 1951. There may be a
reasonable explanation for these transactions, but in the absence of
such explanation, obvious questions arise.
Why the use of Cashier's Checks? Why was not the $6,000 loan
credited directly to Senator McCarthy's account? Why the exchange
of checks between Senator McCarthy and Ray Kiermas?
Whether Senator McCarthy's Activities on Behalf of Certain
Special Interest Groups, Such as Housing, Sugar and China,
Were Motivated by Self-Interest
From time to time, articles have appeared in the press and reports
have been received by the Subcommittee indicating the possibility that
Senator McCarthy may have championed the cause of certain special
interest groups including those relating to certain phases of housing,
sugar and Nationalist China. There were also charges that he may
have done this in self-interest.
Housing
In this connection the Subcommittee has little to add to what has
already been stated previously under the heading of the Lustron fee
payment wherein the receipt of money from the Robert Byers firm
and other matters were also discussed. Other questions which natu-
rally come to mind from these facts as previously set forth are :
Was Senator McCarthy's appearance at Columbus, Ohio in
connection with the promotion of Byers' homes related to his
position as Vice-Chairman of the Joint Housing Committee and
membership on the Senate Banking and Currency Committee ?
Did Senator McCarthy receive any fees, loans, or contributions
from any other housing manufacturers, similar to that received
from Byers and Lustron ?
Sugar
In that the press from time to time characterized Senator McCarthy
as the champion of certain sugar interests and as the Senator obtained
the endorsement of a $20,000 Appleton State Bank note from Russell
M. Arundel, a Washington representative of Pepsi-Cola, at a time
when Pepsi-Cola was interested in certain legislation, etc., the Sub-
committee believed that the propriety of said conduct was a subject
for further inquiry.
Senator McCarthy was a member of the Senate Banking and Cur-
rency Committee, and its Subcommittee on Sugar, since January 6,
1947. As sugar rationing and price controls were still in existence
during 1947, the determination as to wliether said controls were to be
39
continued in any form, or terminated, was the responsibility of tlie
Congress, and particularly the Bankiniz; and Currency Committees.
The Department of Ao;ricuUure advocated the continuation of sugar
controls, whereas (he Pepsi-Cola Comjiany and its hundreds of bottlers
tliroughout the country, among others, urged decontrol.
As related in greater detail in another portion of this report. Senator
McCarthy was greatly over-extended in his loan position at the
Appleton State Bank from the time of his election to the Senate in
November of 194G and throughout 1947, and the Bank was constantly
requiring additional collateral, liquidation of pledged collateral
and/or reduction of his loans. On or about December .5 or G, 1947,
Senator McCarthy hurriedly conferred with Russell M. Arundel (ac-
cording to Arundel's testimony on June 12, 1952, before this Sub-
committee) to apprise him of his financial predicament and the
pressing notes held by the Appleton State Bank, and Arundel en-
dorsed a $20,000 six-months note for Senator McCarthy, on or about
December 8, 1947, which was used as collateral for Senator McCarthy's
Appleton Bank loans.
His acceptance of a $20,000 favor from the Washington representa-
tive of the Pepsi-Cola Company at the very time he was attacking the
Government for its manner of handling sugar control makes it dif-
ficult to determine whether Senator McCarthy was working for the
best interests of the Govermnent. as he saw it, or for Pepsi-Cola.
In view of the fact that Senator McCarthy has failed to appear
before this Subcommittee to offer his explanation of the aforemen-
tioned transactions the following questions remain unanswered:
"Was it proper for Senator McCarthy, while serving on the
Banking and Currency Committee and its Subcommittee on Sugar,
to seek and accept the endorsement on his Bank Note for $20,000
by a person vitally interested in sugar legislation?
Was there any relationship between Arundel's endorsement of
Senator McCarthy's $20,000 note on or about December 8, 1947,
and Senator McCarthy's special appearance to interrogate the
Army Secretary on December 9, 1947, before the Committee on
Appropriations regarding the Army's purchase of Cuban sugar,
which purchase had been previously criticized by Pepsi-Cola?
Did Senator McCarthy's over-extended debt position with the
Appleton State Bank and the Bank's constant demand for liqui-
dation of the indebtedness or an increase in his collateral, influence
Senator McCarthy's position on the sugar decontrol issue to such
an extent that he followed the "Pepsi-Cola line" ?
China
Unconfirmed reports were received by the Subcommittee to the
effect that when Senator McCarthy began his "public phase" of his
fight against communism early in 1950, liis activities in this direction
were general but that subsequently he began to follow what was termed
the line of the China lobby.
As an example of this, it was pointed out that General George C.
Marshall has been one of the individuals attacked by the "China
Lobby" and on June 14, 1952, Senator McCarthy delivered a 65,000-
word speech in the Senate attacking General Marshall. (Cong. Rec.
40
p. 6752.) It was also inferred that Senator McCarthy may have
receiver] financial assistance or other considerations from members of
this group.
Tlie Subcommittee did want to question Senator McCarthy about
these reports and charges as well as other information in its files relat-
ing thereto. From an investigation standpoint, the principle is the
same whether Senator McCarthy may have represented housing, sugar,
or some other special interest group, whether or not related to the
issue of communism. However, in the face of the reasons which the
Senator has used in refusing to cooperate with the Subcommittee,
namely, because S. Res. 187 was communist inspired and any criticism
or investigation of him was an aid to communism — the Subcommittee
has been reluctant to conduct any extensive inquiry of this matter or
to discuss it in this report.
In fairness to Senator McCarthy, it should be said that the Sub-
committee has not received any evidence to date reflecting that he
received money from members of the China Lobby.
It has been ascertained that Mr. Alfred Kohlberg, a New York City
importer, frequently identified as connected with the China Lobby,
sent Senator McCarthy a $500 check to assist him in his fight against
communism and that Senator McCarthy returned this by letter of
April 11, 1950 on the grounds that "it might be misconstrued by left-
wing commentators." There was, however, information developed
incident to the Subcommittee investigation that there was contact
between Senator McCarthy's office in Washington and Alfred Kohl-
berg in New York City on at least nine separate occasions during the
period from April to September 1952 (Exhibit 128).
Whether Loan or Other Transactions Senator McCarthy Had
With Appleton State Bank or Others Involved Violations of the
Tax and Banking Laws
Taxes
The facts relating to tax matters have been previously set forth under
sub-headings, "William P. McCarthy Transactions," "Senator Mc-
Carthy's Transactions with the Appleton State Bank," "Appleton State
Bank Interest Manipulations."
In view of this it appears unnecessary to repeat them at this point
in the report.
BanMng Laios
The facts and circumstances relating to Senator McCarthy's trans-
actions with the Appleton State Bank have also been set forth earlier
in this report, particularly under the sub-heading, "Senator Mc-
Carthy's Transactions with the Appleton State Bank." However, the
laws relating to these matters and a brief discussion of the particular
circumstances is set forth as follows :
The Wisconson Statutes published in 1939 provide in Section 221.29 :
Limit of Loans. (1) The total liabilities of any person ... to any bank, for
money l)orrowed . . . shall at no time exceed twenty per cent of the amount of
capital stock and surplus of such bank or fifteen per cent of the amount of capital
and surplus of such bank (Exhibit 129.)
Amendments to this section thereafter did not alter the foregoing
limitation.
41
The Wisconsin Statutes published in 10 i9 provide in Section 221.29 :
Limit of loans and investments. (1) (a) The total liabilities of any per-
son ... to any bank for money borrowed shall at no time exceed 20 per cent
of the capital stock and surplus or 15 per cent of the capital and surplus of
such bank . . ." (Exhibit loU.)
In 1945 and 1946, The Appleton State Bank had outstanding cap-
ital stock of $200,000 and a surplus of $300,000 with a loan limitation
to one pei-son of $100,000.
Section 7 (a) of the Securities and Exchange Act of 1934 provides:
For the purpose of preventing the excessive use of credit for the purchase
or carrying of securities, the Board of Governors of the Federal Reserve System
shall, prior to the effective date of this section and from time to time thereafter,
prescribe rules and regulations with resi)ect to the amount of credit that may
be initially extended and subsequently maintained on any security (other than
an exempted security) registered on a national securities exchange . . .
Regulation "U" issued by the Board 'of Governors of the Federal
Reserve System pursuant to the provisions of Section 7 of the Securi-
ties and Exchange Act of 1934, as amended to July 20, 1949, provides
in part as follows :
On and after May 1, 1936, no bank shall make any loan secured directly or
indirectly by any stock for the purpose of purchasing or carrying any stock
registered on a national securities exchange in an amount exceeding the maximum
loan value of tlie collateral, as prescribed from time to time for stocks in the
supplement to this regulation and as determined by the bank in good faith for
any collateral other than stocks . . .
The margin requirements in eflPect between February 6, 1945, and
July 4, 1945, was 50% and between July 5, 1945, and January 20, 1946,
it was 75%. By the terms of Regulation "U", the bank between Feb-
ruary 5, 1945, and July 5, 1945, was unable to legally loan money for
carrying stock registered on a national securities exchange in excess
of 50% of the value of the stock, and between July 5, 1945, and Janu-
ary 20, 1946, in excess of 25% of the value of the stock.
Between December 21, 1945, and May 23, 1946, the loan to Joseph
R. McCarthy was in excess of $100,000, the loan limitation of the
Appleton State Bank, and in violation of the Wisconsin bank statutes.
For the purpose, ostensibly, of complying with the law, the Bank
carried in a separate account that portion of the loan in excess of
$100,000 in the name of Howard AlcCarthy, and transferred an
equitable amount of the collateral to the Howard McCarthy account.
The loan to Senator McCarthy was constantly in excess of the
collateral requirements of the Bank, as evidenced by the numerous
letters from the Bank to Senator McCarthy. It was under collateral-
ized by the terms of Federal Reserve Board Regulation "U", which
provided a margin requirement of 50% or greater at all times between
February 5, 1945 and the present time.
The most flagrant disregard for the state banking laws and the
Federal Reserve Board regulation was the financing by the Appleton
State Bank of the acquisition by Senator McCarthy of 5,000 shares of
Chicago, Milwaukee, St. Paul & Pacific Railroad stock in December
1945. On December 21, 1945 the loan account of Joseph R. McCarthy
was increased by $149,176.00 raising the balance to $169,540.70, which
was $69,540.70 in excess of the bank's legal loan limit (Plxhibit 131).
The $149,176.06 represented a check for that amount issued to Wayne
Hummer & Company (Exhibit 132) which was credited by Wayne
42
Hummer & Co. on December 26, 1945 to the account with Appleton
State Bank and was used to pay for 5,000 sliares of C. M. St. P. & P.
R. R. stock purchased between November 28, 1945 and December 26,
1915 (Exhibit 133) . By the terms of Regulation "U" it would appear
that the bank was precluded from loaning more than 25% or $37,-
291.01 to purchase stock having a market value of $149,176.06. "Within
a few days after increasing the loan to Senator McCarthy to $169,-
540.70, an amount in excess of the loan limit or $69,540.70 was trans-
ferred to an account in the name of Howard McCarthy.
On April 22, 1917 the Bank wrote Senator McCarthy advising him
of the market value of his collateral and reflecting a deficiency of
$11,200.00 in the Bank's requirement of 120% of the loan balance
(Exhibit 134).
The market value of listed stocks on that date was $21, 137. 50
50% of market value of listed stocks 10, 508. 75
Other collateral 32, 350. 10
42, 924. 85
Amount of loan 53, 919. 00
Undercollateralized per Federal Reserve Bank Regulation $10, 994. 15
On March 14, 1949 the Bank wrote Senator McCarthy informing
him that his collateral valued at $66,594.66 provided a margin of only
11 percent plus over the loan balance as against the Bank's requirement
of 20 percent. This letter indicated that $22,830.00 of the collateral
held as security for Senator McCarthy's loan was owned by Ray
Kiermas, Senator McCarthy's Administrative Assistant ( Exhibit 135 ) .
After February 5, 1945, the Federal Reserve Board regulations at all
times provided for a margin of at least 50 percent of the market value
of listed stocks. On this basis there appeared to be a deficiency in the
collateral of $15,824.05 computed as follows :
Kiermas listed stock :
100 Seaboard $1, 625. 00
50 Hecla 537. 50
100 Burroughs 1, 500. 00
50 General Finance 300. 00
$3, 962. 50
50 percent of market value of listed stock $1, 981. 25
Other Kiermas collateral :
7,000 Central of Ga. 51/28 of 59 367. 50
10,000 Central of Ga. 5s of SCT 500. 00
300 Gerbers stock 4, 200. 00
Mortgage 3, 80O. 00
Savings account 10, 000. 00
McCarthy listed stock :
1,300 Seaboard $21, 125. 00
450 Seaboard 7, 312. 50
500 Dana Corporation 12, 000. 00
700 Central of Ga. common 2, 800. 00
$43, 237. 50
50 percent of market value of listed stock 21,618. 75
I
43
Other McCarthy collateral :
Cash from sale of Seaboard $484. 73
Cash 42.43
Interest reserve account 678. 29
Loan value of collateral per Regulation "U" $43,072.95
Loan balance 59, 497. 00
Deficiency in collateral per Regulation "U" $15, 824, 05
Whether Senator McCarthy Violated Federal and State Corrupt
Practice Acts in Connection With His 1944-46 Senatorial Cam-
paigns or in Connection With His Dealings with Ray Kiermas
The 191^ campaign
Tire facts with respect to the possibility that a part or all of the
$17,600 which Senator McCarthy's relatives allegedly contributed to
his 1944 Primary Campaign for the Senate, was in fact funds of Sen-
ator McCarthy which he had derived from profits in stock market
speculation, are discussed under the title ''Senator McCarthy's 1944
Campaign for the Senate Primary", previously set forth in this report.
In addition to the alleged contributions to "The Committee to Elect
Joseph K. McCarthy to the U. S. Senate" by the relatives of Senator
McCarthy, Joseph R. McCarthy personally executed an affidavit on
August 7, 1944, reporting expenditures of $2,741.33 (Exhibit 136).
If the alleged contributions by his relatives totalling $17,600, were,
in fact, his personal campaign expenses, it would indicate a total of
$20,341.33 expended by Senator McCarthy in the 1944 unsuccessful
primary election. This, however, is not consistent with the affidavit
executed by Senator McCarthy on September 20, 1944 (Exhibit 137),
which was filed with the United States Senate which states :
An independent Campaign Committee of which James J. Colby, ]10 E. Wis.
Ave. was Chairman rec'd contributions and expended money in behalf of my
candidacy but I have not information as to their account.
If Senator McCarthy actually expended $20,341.33 of his personal
funds on the unsuccessful primary, it would appear that this was in
excess of the $5,000 limitation provided by the laws of the State of
Wisconsin.
The questions before the Subcommittee in this connection are:
What was the source of funds totalling $17,600 allegedly con-
tributed by Senator McCarthy's relatives to his 1944 primary
campaign?
What disposition was made by Senator McCarthy of stock mar-
ket profits in excess of $40,000 realized in 1943 and withdrawn
from time to time in 1944 ?
Why did Senator McCarthy, who had $40,000 at his disposal in
1944 call upon his relatives for financial assistance in connection
with the 1944 primary campaign.
The 191^6 senatorial campaign
Section 599 of Title 18, U. S. C, provides that a candidate who
promises an appointment to a public or private position in exchange
for political support shall be fined $1,000 or imprisoned for not more
44
than one year, or both, and if the violation is wilfull, shall be fined
$10,000 and imprisoned for not more than two years, or both.
Ray Kiermas, Administrative Assistant to Senator McCarthy, is
reported as a contributor to McCarthy's campaign and since his em-
ployment by Senator McCarthy has had many financial transactions
with Senator McCarthy. The "Appleton McCarthy for Senator Club"
reported a contribution from Ray Kiermas on January 25, 1946, of
$49.50 (Exhibit 138). The "Milwaukee County McCarthy for
Senator Club," by its secretary, Nathan W. Heller, reported a contri-
bution from Ray'Kiermas on March 28, 1946, of $50.00 (Exhibit 139).
The "McCarthy for Senator Club," by its secretary. Urban P. Van
Susteren, reported contributions from Ray Kiermas on May 3, 1946,
of $50.00, and on November 10, 1946, of $468.80. A loan to this club
of $2,000.00 on October 18, 1946, was reported as repaid to Kiermas
on November 7, 1946 (Exhibit 140) .
On August 22, 1946, Senator McCa:^thy executed an affidavit which
was filed with the United States Senate which stated in part as
follows :
The Wisconsin State Republican organization and various McCarthy For
Senator Committees did, I understand, spend money and perform acts for the
promotion of my candidacy. As to the amount spent, contributions made, etc.,
I presently have no knowledge except from hearsay and rumor.
I exercised no supervision or control over the Republican State Voluntary Com-
mittee nor over the various McCarthy for Senator Clubs, etc.
Under the laws of Wisconsin each individual or committee that spent over
fifty dollars in the promotion of the candidacy of anyone must file a complete
verified financial statement with the Secretary of State of Wisconsin. I don't
believe that I am entitled to obtain a copy of such statements. I assume, how-
ever, that if your committee will write the Secretary of State he would be glad
to send you a verified copy of statements filed by any committee or club which
was working for my nomination (Exhibit 141).
Ray Kiermas sold his grocery on or about August 31, 1946, after the
"Wisconsin primary election in which Joseph R. McCarthy won the
Republican nomination for United States Senator. Kiermas opened
an account with the Appleton State Bank on August 31, 1946, bv de-
positing $9,000.00 (Exhibit 142), the proceeds from the sale of the
grocery. On September 6, 1946, Kiermas pledged $20,000.00 par value
Central of Georgia Railway Company bonds with the Appleton State
Bank as additional collateral for Senator McCarthy's loan with the
Bank (Exhibit 143). On the same date, by another instrument
(Exhibit 144), he pledged 100 shares of Burroughs Adding Machine
Company no par value stock and 50 shares of Hecla Mining Company
as security for the Senator's loan. On October 10, 1946, Ray Kiermas
and Delores Kiermas pledged a $5,000.00 real estate mortgage with the
Bank as additional security for the Senator McCarthy loan (Exhibit
145).
Upon taking the oath of office on January 3, 1947, Senator McCarthy
appointed Kiermas to his staff and he is Senator McCarthy's Adminis-
trative Assistant at the present time. He has drawn a salary of in
excess of $7,000 each year and Dolores Kiermas, his wife, has also been
on Senator McCarthy's payroll since 1947 and has drawn a salary
which at intervals has reached approximately $7,000 a year. Senator
McCarthy has resided in Washington with ]Mr. and Mrs. Kiermas since
January 1947.
On May 14, 1947 (Exhibit 146), Kiermas pledged $10,000 of his
savings account with the Appleton State Bank as additional collateral
45
for Senator McCarthy's loan, and on October 13, 1948, pledged 100
shares of Seaboard Air Line Railroad Company stock (Exhibit 147).
On February 17, 1919 (Exhibit 148), Kiermas pledged 100 shares of
Potomac Electric Power Company $10 par value common stock as
additional collateral for the Senator's loan.
Beginning early in 1947 and continuing to the present time, there
have been numerous transactions and transfers of cash between Senator
McCarthy and Kiermas, and it is impossible to determine if these in-
volve transactions between the two.
Of course, there is no law against friendship and the subcommittee
feels sure that Mr. Kiermas' acts were inspired by friendsliip and
loyalty. However, the facts as set forth provoke logical questions
as to wliether Senator McCarthy took advantage of Mr. Kiermas,
whether Senator McCarthy promised Kiermas a position in exchange
for political and financial support and whether Kiermas has been re-
quired to furnish Senator McCarthy financial assistance since his
employment by the Senator. Only Senator McCarthy or Mr. Kiermas
can supply the answers.
CONCLUSIONS AND RECOMMENDATIONS
The Subcommittee itself is not making any recommendations in this
matter. The record should speak for itself. The issue raised is one
for the entire Senate.
This report and the Subcommittee files, of course, will be available
to the Department of Justice and Bureau of Internal Revenue for any
action deemed appropriate by such agencies.
This does not, however, resolve the issue presented by S. Res. 187,
which is a matter that transcends partisan politics and goes to the very
core of the Senate Body's authority, integrity and the respect in which
it is held by the people of this country.
II. RESULTS OF INVESTIGATION PURSUANT TO
S. RES. 304
On April 10, 1952, Senator Joseph R. McCarthy, of Wisconsin, sub-
mitted S. Res. 304, calling for an investigation of Senator William
Benton, of Connecticut, by the Senate Committee on Rules and Admin-
istration (Exhibit IG). The matter was referred by the Secretary
of the Senate to the Rules Committee, and subsequently to the Sub-
committee on Privileges and Elections.
Senator McCarthy's resolution pertains to four distinct issues: (1)
ConnminisTa. (That Senator Benton, as Assistant Secretary of State
(1945-47) hired, retained, defended or associated with people engaged
in communist activities; and that Senator Benton purchased lewd
and communistic literature and art works for world-wide distribution,
and also sent proofs of Amerika Magazine to Moscow for approval
and editing, all in an attempt to discredit America.) (2) Walter Cos-
griff. (That the campaign contribution paid by Mr. Cosgriff to Sen-
ator Benton in 1950 was not reported by Senator Benton.) (3) In-
come Tax Returns. (Benton's returns for the years 1947 through
1950.) (4) MisreUaneous. (Fake television portrayals by Senator
Benton, and misuse by Benton of his business interests.)
On July 3, 1952, after several postponements occasioned by Senator
J. 236027 4
46
McCarthy, he appeared before the Senate Subcommittee on Privileges
and Elections, at public hearings, and amplified the charges set forth in
S. Res. 304, by giving what he described as "leads." On the same day,
immediately upon the completion of Senator McCarthy's testimony,
Senator Benton testified in refutation of the charges.
Both Senators having appeared and testified on S. Res. 304, -which
testimony is a matter of public record, and Senator Benton having
been defeated for reelection to the United States Senate, it would ap-
pear that, as to any action the Senate might take on the charges, the
issues raised have become moot. However, the donations from "Walter
Cosgriff, whether for campaign purposes or otherwise, should still
be a matter of interest to the entire Senate. Although the donations
are not very large, nevertheless, the issue of unreported contributions
seems to be of considerable significance at this time, as a matter for
possible remedial legislation.
Walter Cosgriff, a banker from Salt Lake City, Utah, received na-
tional attention when President Truman submitted his nomination
as one of the new directors of the Reconstruction Finance Corporation
to the United States Senate on August 9, 1950, at a time when said
agency and its directors were under investigation by the Senate Bank-
ing and Currency (Fulbri^ht) Subcommittee. There had been no
action taken on the nomination by the Senate when it recessed on Sep-
tember 23, 1950, apparently because the RFC Subcommittee was then
considering reorganizational changes in the RFC, and did not see fit
to pass upon nominations at that time. Thereafter, on October 3,
1950, President Truman made interim appointments to the RFC
directorships, and AValter Cosgriff was sworn in on October 12, 1950.
When the Senate reconvened. President Truman resubmitted the di-
rectors' names, including Mr. Cosgriff's. However, on approximately
February 20, 1951, the President proposed an RFC Reorganization
Plan calling for a one-man Administrator, and as a result, the nomi-
nation of Cosgriff was never acted upon. Cosgriff resigned from the
RFC on May 4, 1951, along with the four other RFC directors, and
they were succeeded by the new Administrator.
WALTER cosgriff's TESTIMONY BEFORE THE FULBRIGHT COMMITTEE
(MARCH 1951)
The matter of Walter Cosgriff's financial transactions with Senator
Benton first came to public attention during the hearing held by the
Senate Subcommittee on the RFC of the Senate Banking and Cur-
rency Committee on March 19, 1951. Mr. Cosgriff, who was then
serving as an RFC Director, was questioned, at one point, concerning
his political contributions (pp. 1651-1658 of the printed hearings on
the Study of Reconstruction Finance Corporation Lending Policy).
Cosgriff first answered that during the campaign of 1950, he had not
contributed to anyone outside his home State of Utah ; however, upon
further examination he recalled that he had contributed to the cam-
paign of Senator Benton of Connecticut. Mr. Cosgriff also stated, at
the March 19 hearing, that "Senator Benton was instrumental, so he
said, or at least I asked him about it and he did not deny it, in
getting me to accept the job."
[It should be pointed out investigation has revealed that Senator
Benton did not list the Cosgriff contribution in his 1950 report on
campaign receipts and expenditures, which was filed with the Secre-
47
tary of the Senate, nor is it reflected in any report filed in Connecticut
by Inde])endent Committees for Benton. Senator Benton's individual
report, tiled wi<:h the Secretary of the Senate, lists Senator Benton as
receivinir his first campaign contribution on April 28, 1950 and turning
it over to the Independent Voters for Benton on the same day. Sen-
ator Benton ^vas nominated by the Democratic State Convention of
Connecticut on July 31, 1950; however, he has stated that he did not
begin his real compaigning until the fall of 1950.]
SENATOR BENTOX'S TESTI:M0NY BrFOIJE SENATE SUDCOMMIITEE ON
PRIVILEGES AND ELECTIONS (SEPTEMBER 1951)
The matter was again officially discussed on September 15, 1951, when
Senator Benton himself testified before the Senate Privileges and
Elections Subcommittee during a hearing on proposed amendments
to the Federal Corrupt Practices Act. It was at this time that Senator
Benton referred to Cosgriff's contribution, without specifically men-
tioning it by name, for the reported purpose of showing the weakness
in existing lavr, and in furtlierance of a rcconmiondation that legisla-
tion should be enacted to make such gifts reportable. Benton stated
that the money was not to be considered a campaign contribution.
His testimony, as it appears on page 45 of the printed hearings, is as
follows :
I had a personal experience with the weakness of the law as it is now on the books.
Last j'ear, before Congress recessed, I got a small contribution from a friend of
mine who was keenly interested in my efforts to accomplish economies in govern-
ment. He was especially interested in my activities on behalf of the recommenda-
tion of the Hoover Commission. Reeause of this interest he gave me a small sum
to help defray these costs of mailings of some of my Senate speeches to people in
my State. He is a Republican, and he expressly told me that the money was not
to be considered a campaign contribution. It was not, under the law, a campaign
contribution. The Senate was in session ; I had not begun my campaigning and I
did not report the money. Later my friend appeared before a Senate conmiittee,
and on being questioned, said that he had given me money. We were both placed
in an embarrassing position and I was subjected to attack on the editorial pages
of S(ime Connecticut newspapers. Yet, under the law, I had done nothing wrong.
I-'urther, I had done nothing wrong either legally or morally or ethically. I give
this personal experience to show that the law should require that such funds are
publicly acknowledged. This public acknowledgment should include both the
donor and the way the money is used.
SENATOR BENTON's TESTIMONY BEFORE SENATE SUBCOMMITTEE ON
PRIVILEGES AND ELECTIONS (JULY 1952)
On July o, 105-2, Senator Benton, while testifying in response to
Senator McCarthy's charges, recalled the CosgrifF transaction and
conceded that he may have handled the matter badly (p. 300, original
transcript). Senator Benton stated that he was acting as Chairman
of the Small Business Subcommittee when Mr. CosgrifF apj^eared to
testify before it, in June of 1950. (Congressional records reflect that
;Mr. CosgrifT actually testified before the Senate Banking and Currency
Committee on June 28, 1950, in its hearings on the Small Business Act
of 1950, and more particularly, with respect to the Bimson Phin,
whereby the government would insure bank loans to small business.)
Senator Benton further testified that he and CosgrifF had a social
chat, after the hearings. Senator Benton stated (p. 301) that:
To my surpri.se, some months later Mr. Cos','riff showed up in Washington again,
and we resumed our acquaintance, and he came into my oifice and said, "Senator,
I admire you for the leadership you have taken in these Hoover proposaLs," '
48
Senator Benton further testified (on July 3, 1952) that Cosgriff ex-
plained that he was a Republican and would therefore be unwilling to
contribute to his campaign, but that he would be willing to aid in pub-
licizing Benton's speeches on the Hoover Commission reorganization
proposals and that he would like to contribute $300 for th?.t purpose.
Senator Benton further stated that he called in his secretary to
receive the contribution as he did not like to take cash and that in
Mr. Cosgriff 's presence he instructed her as follows :
Take this $300, put it in the bank account which you run covering expenditures
here in the office — Pay the government printer for the reprints of my Hoover
Reorganization speeches (See p. 302.)
Senator Benton claimed that Cosgriff later gave him an additional
sum in cash, reportedly collected from friends of Cosgriff who were
interested in the Hoover proposals, which was handled in the same
fashion, Mr. Benton further stated (p. 303) :
This was before any thought was in my mind, or to my knowledge in his mind
that he would ever be nominated to serve on the RFC. I did not even know
of his nomination until after it had taken place.
Senator Benton admitted that he spoke to Senator Fulbright about
Cosgriff, when the latter's confirmation as a Director of the RFC
was pending before the Senate. (This was in the early part of the
following year.)
Senator Benton read into the record during the July 3, 1952, hearing,
a letter from Walter Cosgriff dated June 4, 1952, in which Mr. Cos-
griff stated that the entire contribution could not have exceeded $600,
and that the money was specifically earmarked for the purpose of
supporting the Bimson Plan and/or the Hoover Commission pro-
posals, more specifically, the one recommending reorganization of the
Office of the Comptroller of the Currency (pp. 304-305).
Senator Benton further admitted that most of the reprints were
actually sent to Connecticut (p. 315), and that the public would
never have known about the Cosgriff contribution, had Cosgriff him-
self not disclosed it, as he. Senator Benton, would never have revealed
same (p. 312).
Senator Benton sent a letter dated July 4, 1952, to the Subcommittee
Chairman, requesting that it be inserted in the record, and stating
that he had now ascertained, after talking with his secretary, that
the first Cosgriff contribution was in the form of a bank draft drawn
on the Continental National Bank and Trust Company of Salt Lake
City, Utah, of which Mr. Cosgriff is the President. Senator Benton
explained that this was the reason for his failure to give Mr. Cos-
griff a receipt, as the draft itself was the receipt. In regard to the
reprints, Senator Benton's records reflect that he received an $873.90
bill from the Public Printer dated August 4, 1950, covering 102,000
copies of his speech on Government Reorganization (Exhibit 149),
and that he paid for it by check of August 7, 1952, covering this and
another small item (Exhibit 150).
STATEMENT OF WALTER COSGRIFF (NOVEMBER 11, 19 52)
On November 10 and 11, 1952, Mr. Walter E. Cosgriff was inter-
viewed by a staff investigator at Salt Lake City, Utah. Upon com-
pletion of the interview, he executed a signed statement, which is on
file.
49
In this statement Mr. Cosgriff disclosed that he had had correspond-
ence with Senator Benton commencing with the early part of 1950 in re-
gard to the reorganization ])lan for the Office of tlie Com])troller of
the Currency, with whicli office Mr. Cosgriff had been engaged in an
extended dispute. Mr. Cosgriff stated that he had written to Senator
Benton, after he had discovered that Senator Benton was one of the
greatest proponents of the plan, and received replies from the Sen-
ator. Mr. Cosgriff further advised that he first met Senator Benton
on June 28, 1950, when he testified before the Senate Banking and
Currency Committee on behalf of the Bimson Plan. Mr. Cosgriff
stated :
After my testimony on the 28th, most of wliich occurred before Senator Benton,
the other members of the Committee had left the room for one reason or another
(Senator Maybank having h^ft during the hearing), 1 tallied witli Senator Benton
both in the hearing room and our conversation continued into his othce. He
complimented me on my testimony and during the conversation we started to
talk about the Reorganization Plan I of 1950, specifically the part referring to the
OfTice of Comptroller of the Currency. Senator Benton told me he was going to
do some work on both the Reorganization Plan and the Bimson Plan and other
Hoover Commission Proposals, and it was at that time on June 28, 19.50 that
I expressed a desire to pay for the cost of the printing and the mailing . . .
Mr. Cosgriff said that he was called back to Washington about July
10 or 12, for consultation at the White House at which time he was
advised he was being considered for an RFC Directorship. Mr. Cos-
griff further advised that it was then, when he was in Washington for
approximately 10 days, that he gave Senator Benton $300 in the first
of several visits to Senator Benton's office during that period. Mr.
Cosgriff stated that he gave Senator Benton $300 at tliat time, in cash,
to help defray the cost of disseminating literature on the Hoover Pro-
posals, and he is quite definite about the fact that he "never purchased
a bank draft on the Continental National Bank and Trust Company to
Senator Benton at any time." Upon giving (he cash to Senator Benton,
Mr. Cosgriff states that Senator Benton called in his secretary and
told her to deposit the money to his special account. Mr. Cosgriff
further states that he again returned to Washington in the middle of
August, whereujion he wont to Senator Bonton.'s office and asked him
how he was getting along with the distribution of the literatui-e, and
whether all the money had been used up yet; that Senator Benton told
him the money had been used, whereupon Mr. Cosgr-iff gave Senator
Benton an additional $300. Mr. Cosgriff advised in his statement:
I told Senator Benton I had collected part of this sum from other bankers but
that was actually not the case. Although I intended to later collect it but never
did.
The additional $300 was found to be covered by a check dated August
21, 1950, to the order of William Benton (see Exhibit 151) and was
deposited in the Riggs National Bank of Washington, D. C, on Sep-
tember 19, 1950, bearing the bank's stamp of September 20. Mr.
Cosgriff stated that he presumed
. . . that the mailings I was paying for were to be made to banks and manu-
facturing companies, possibly Cliambers of Commerce or fraternal organizations
or individuals interested in this plan and in position to do something about it.
Mr. Cosgriff also said in his November 11, 1952 statement:
I can definitely state that I did not discuss my RFC appointment with Senator
Benton at any time prior to its becoming public knowledge, which was sometime
in August 1950. After it was public knowledge, sometime in Augiist of 1950, I
50
did discuss the appointment with Senator Benton with regard as to whether or
not I should accept it, although at no time did I ask him to exert any influence in
my behalf. If he did such a thing, it was unknown to me.
As far as my testimony before the Fulbright Committee is concerned, at the
time I test! tied that I had contributed to Senator Benton's campaign I did not
understand the fine point legal difference between a campaign contribution and
my paying for the distribution of the literature. Therefore, I considered the
entire thing to have something to do with politics and being in the nature of a
political contribution. Also during the Fulbright testimony any referral I may
have made referring to urgings by Senator Benton to take the job, took place
subsequent to the time my appointment became public knowledge ; as well as to
further urgings by Senator Benton to stay on the job despite the fact that no
hearings had been scheduled regarding confirmation of the appointment, as well
as several other opportunities to quit. I discussed with Senator Benton at sev-
eral times as to whether I should stay on during the period from October 1950
to May 1951.
Mr. Cosgriff further stated that in regard to his letter of June 4,
1952, read by Senator Benton into the July 1952 hearings, that it was
in response to a letter of May 28, 1952, and a phone call of June 2, 1952,
both from Senator Benton.
In addition to the signed statement, the investigator from this staff
examined with Mr. Cosgriff's permission, the personal and office diaries
of INIr. Cosgriff kept during the period that he was an EFC Director
(October 12, 1950 to May 4, 1951). The diary contained several ref-
erences to meetings with Senator Benton, including the following :
"March 7, 1951 (office diary) 12:30— Lunch with Senator Benton. Call him
from floor." (Personal Diary) "Had lunch with Senator Benton in the res-
taurant at the Capitol Building. He stated he was disturbed about what was
happening to RFC in general and regretted the part he had played in my employ-
ment by the organization. I told him I did not feel he was in any way responsible
as I should be old enough to take care of myself. He offered to do anything he
could to be of assistance."
TESTIMONY OF SENATOR BENTON ON NOV. 24, 1952
The Crosgriff statement of November 11, 1952, and the excerpts from
the diary were introduced into the executive session hearings held
before this Subcommittee on November 24, 1952, relating to the Cos-
griff matter. At this hearing. Senator Benton, who testified, identi-
fied a deposit slip of September 19, 1950 to an account in the Riggs
National Bank of AVashington, D. C. under the name of William Ben-
ton (Exhibit 152). This slip lists under "Checks Deposited," a $300
item on the Continental National Bank and Trust Company of Salt
Lake City, which Senator Benton stated was the August 21, 1950 check
of Mr. Cosgriff and, in addition, it shows a deposit of $500 in cur-
rency, which is the only 1950 consequential currency deposit in this ac-
count during this period. The $500 was identified by Senator Benton
to be, in part, the $300 cash contribution of Mr. Cosgriff, made in
July 1950 (p. 48 original transcript). The ledger sheets covering
Senator Benton's account at the Riggs National Bank is attached as
Exhibit 153.
At the outset of the testimony of November 24, 1952, Senator Benton
stated that the first time word ever reached him that Mr. Cosgriff had
a special interest in the Office of the Comptroller of the Currency was
that very morning (November 24) when he was shown Cosgriff's
November 11 statement (p. 7).
Senator Benton then stated at this hearing that Mr. Cosgriff told
him, at a date of which he is uncertain, that he had been offered the
I
61
RFC appointment and was considerin<2; taking it. Senator Benton
specifically stated in regard thereto (pp. 22-23) :
Just as Walter Binison, I believe, urged him to take it, I formed a high opinion
of hira. I had a high opinion of his testimony before the Banking and Currency
Committee ; here he is, a rich and successful private banker. I said "This would
be a great experience for you to come down here to Washington and get this
experience". ... He was a Republican banker and nominated as a Republican
member of the Board. His friendly interest in these mailings of mine quite
naturally generated a friendly interest on my part in him, and I thought he
looked like a good appointment.
I don't know who else besides Senators Watkins and Thomas may have talked
to him, I don't know who recommended him to Dawson. I don't know the
sequence by which lie was offered the appointment, and to the best of my recol-
lection I have never been told it.
Further in his testimony Senator Benton states (p. 24) :
I did not hear any more about Cosgriff or what had happened until I was
elected and was back here in the Spring at which time he came in to see me, as
his diary shows, wanting to know whether I thought the Reorganization Plan
on the RFC was going to go through abolishing these 5 fellows and setting up only
one of them, or whether they were going to be confirmed. I said, "I dcn't know.
I will ask Senator Fulbright about it".
The reason Senator Fulbright is so well informed in this testimony is I
went to him and very frankly told him I said "I want you to know I have a
personal interest in this man and he contributed, paid for some of the mailings
on the Hoover Reorganization proposals that I sent out last year".
To cast further light on whether Senator Benton knew anything
about Mr. Cosgriff's RFC nomination prior to August 9, 1950, when
President Truman actually submitted the nomination to the United
States Senate, the following testimony of Senator Benton's given at the
November 24 executive session may be considered pertinent (pp.
33-34):
When he first talked to me about the RFC matter, there was a question of clear-
ance, with Senators Thomas and Watkins, by the White House, before they could
offer him the job . . . My recollection from the first I heard of him con-
sidering this job was that there was a good deal of maneuvering and he had
to be cleared with Senators Thomas and Watkins, and it was during that period,
it was my recollection, he asked me about whether 1 thought it would be a good
thing for him to take the job, if he could get it, and I thought it would be a very
fine thing, I said, if he could get it.
Althougli it would appear from the above testimony that Senator
Benton knew and discus.sed the pending RFC appointment with Mr.
Cosgritf, prior to its final submission to the Senate and the simultaneous
public announcement on August 9, 1950, nevertheless. Senator Benton,
at anotlier point in tlie testimony, stated that just because it became
public knowledge in August did not mean he (Senator Benton) knew
about it then, and that prior to his (Mr. Cosgriff's) appointment he
never heard of it ( pp. 41-42) .
Senator Benton further stated in the testimony that in 1950 he re-
ceived similar payments to this which he handled in a similar manner.
Senator Benton testified on this point (p. 49) :
In 10.50 I had some other gifts made to me on which I sought and received
counsel which were spent similarly on items that were adjudged to be non-
campaign items.
However, Senator Benton declined to disclose any further details.
In view of the fact that Senator Benton was unsuccessful in the recent
election and was no longer a member of the Senate, he was not pressed
further.
52
CONCLUSIONS AND RECOMMENDATIONS
On the basis of the evidence submitted, we can only concur with
Senator Benton that the matter of the Cosgriff donations was badly
handled. If the monies were intended to be contributions to Benton's
political campaign, as indicated in the original testimony of Mr. Cos-
griff before the Fulbright Committee, it would appear that the failure
to report this contribution in his statement filed on 1950 Campaign
Receipts and Expenditures with the Secretary of the Senate, placed
Senator Benton in violation of Section 307 of the Federal Corrupt
Practices Act, which requires that a senatorial candidate shall file a
correct and itemized account of each contribution received by him, or
by any person for him, with his knowledge or consent, from any source,
in aid or support of his candidacy for election, or for the purpose of
influencing the result of the election, together with the name of the
person who has made such contribution", and Section 302 defines
"contribution" to include "a gift, subscription, loan, advance or de-
posit of money or anything of value . . ."
If the sums contributed by Walter Cosgriff were not intended as
campaign contributions, but donations particularly earmarked to be
used for a specific purpose, as later asserted by both Cosgriff and
Benton, namely, to pay the cost of printing and mailing Senator
Benton's speeches on Government Reorganization, we still have the
issue of whether Senator Benton's acceptance of contributions, no
matter what the purpose, from a person who was then under either
presidential consideration, or actual nomination for an office in the
United States Government requiring confirmation by the United States
Senate, was ethical and proper.
Although there appears to be some conflict in the testimony and
statements of Senator Benton, as to whether he had any knowledge
that Cosgriff was to be nominated to the RFC Directorship at the
time of receiving the first contribution in July 1950, he was on public
notice at least on August 9, 1950, if not before, when the President
announced Mr. Cosgriff's nomination ; therefore, his acceptance of an
additional contribution by check dated August 21, 1950, places Senator
Benton in a rather inconsistent position. Senator Benton should have
known that as a member of the United States Senate he would be
called upon to exercise a vote should the matter of Cosgriff's nomina-
tion reach the floor. Although Senator Benton is, by his own state-
ment, a wealthy man, and therefore not reliant upon such sums as
Mr. Cosgriff gave him, this would not seem to change the principle
involved.
A law requiring Members of Congress to publicly acknowledge the
acceptance of an^ funds given to them in connection with the responsi-
bilities and duties of their office, would certainly place the use of
these funds for legitimate purposes free from any question. Such
a law should require the listing of the donor, donee, and purpose, if
any, and should have some criminal sanction attached which would
discourage a surreptitious handling of such funds. It is herewith
suggested that the Congress give special consideration to legislation
in this field.
APPENDIX
(53>
APPENDIX
Exhibits Page
1. S. Res. 187 59
2. Letter dated Sept. 17, 1951, from Senator McCarthy to Senator Gillette. 60
3. Letter dated Sept. 25, 1951, from Senator Gillette to Senator McCarthy. 61
4. Letter dated Oct. 1, 1951, from Senator Gillette to Senator McCarthy. 61
5. Letter dated Oct. 4, 1951, from Senator McCarthy to Senator Gillette. 61
6. Letter dated Dec. 6, 1951, from Senator McCarthy to Senator Gillette. 62
7. Letter dated Dec. 6, 1951, from Senator Gillette to Senator McCarthy.. 63
8. Letter dated Dec. 7, 1951, from Senator McCarthy to Senator Gillette. 63
9. Letter dated Dec. 11, 1951, from Senator Gillette to Senator McCarthy. 64
10. Letter dated Dec. 19, 1951. from Senator McCarthy to Senator Gillette. 64
11. Lt>tter dated Dec. 21, 1951, from Senator Gillette to Senator McCarthy. 65
12. Letter dated Jan. 4, 1952, from Senator McCarthy to Senator Gillette. 66
12A. Letter dated Jan. 10, 1952, from Senator Gillette to Senator Mc-
Carthy 66
13. Letter dated Mar. 21, 1952, from Senator McCarthy to Senator Hayden. 67
14. S. Res. 300 68
15. Record of cases of expulsion, exclusion, and censure . 69
16. S. Res. 304 78
17. Letter dated May 7, 1952. from Senator Gillette to Senator McCarthy. 79
18. letter dated May 8, 1952, from Senator McCarthy to Senator Gillette. 80
19. Letter dated May S, 1952, from Senator McCarthy to Senator Gillette.. 82
20. Letter dated May 10. 1952, from Senator Gillette to Senator McCarthy. 82
21. Letter dated May 11, 1952, from Senator McCarthy to Senator Gillette. 83
22. Letter dated May 13, 1952, from Senator Gillette to Senator McCarthy. 84
23. Letter dated May 28, 1952, from Senator Hayden to Senator Gillette.. 84
24. Letter dated June 9, 1952, from Senator Gillette to Senator McCartliy. 86
25. Letter dated June 11, 1952. from Senator McCarthy to Senator Gillette. 86
26. Letter dated June 12, 1952, from Senator McCarthy to Senator Gillette. 87
27. Letter dated June 18. 1952. from Senator Gillette to Senator McCarthy. 87
28. Letter dated June 19, 19.52, from Senator McCarthy to Senator Gillette. 88
29. Letter dated June 20, 1951:, from Senator Gillette to Senator McCarthy^ 91
30. Letter dated June 23. 1J'.">2, from Senator Benton to Senator Gillette-. 91
31. Letter dated June 23. 1952, from Senator Gillette to Senator McCarthy. 92
32. Letter dated June 24, 1952, from Mary B. Driscoll to Senator Gillette. 92
33. Telegram dated June 25, 1952, from Senator Gillette to Senator Mc-
Carthy 93
34. Letter dated July 1, 1952, from Senator McCarthy to Senator Gillette. 93
35. Telegram dated Sept. 8, 1952, from Poorbaugh to Senator Gillette 93
36. Letter dated Sept. 9, 1952, from Senator Welker to Senator Hayden___ 94
37. Letter dated Sept. 10, 1952, from Senator Gillette to Senator Hayden. 95
88. Letter dated Nov. 7, 1952, from Mr. Cotter to Senator McCarthy 96
39. Letter dated Nov. 7, 1952, from Mr. Cotter to Senator Benton 96
40. Letter dated Nov. 10, 1952, from Mr. Kiermas to Mr. Cotter 97
40A. Envelope addressed to Mr. Cotter 97
41. Letter dated Nov. 21, 1952, from Senator Hennings to Senator Mc-
Carthy 98
42. Telegram dated Nov. 21, 1952, from Senator Hennings to Senator
McCarthy 99
43. Letter dated Nov. 21, 1952, from Senator Hennings to Senator Benton. _ 100
44. Letter dated Nov. 28, 1952, from Senator McCarthy to Senator
Hennings 101
45. Letter dated Dec. 1, 1952, from Senator McCarthy to Senator Hennings- 102
46. Letter dated Oct. 5, 1951, from Senator Benton to Senator Gillette 105
47. Press release of Buckley dated Dec. 27, 1951 106
(65)
56
Page
47A. Schedule — Toll calls between Buckley et al 108
48. Letter from Poorbaugh to Mr. Cotter 109
49. Letter dated Apr. 5, 1948, from Appleton State Bank to Senator
McCarthy 110
50. Letter dated Sept. 29, 1948, from Appleton State Bank to Senator
McCarthy 111
51. Letter dated Oct. 9, 1948, from Senator McCarthy to Appleton State
Bank 111
52. Letter dated Oct. 13, 1948, from Appleton State Bank to Senator
McCarthy 111
53. Letter dated Oct. 18, 1948, from Senator McCarthy to Appleton State
Bank 112
54. Letter dated Oct. 20, 1948, from Appleton State Bank to Senator
McCarthy 112
55. Lustron check of Nov. 12, 1948, to Joseph R. McCarthy 113
56. Letter dated Dec. 16, 1948, from John R. Price to Senator McCarthy.. 114
57. Letter dated Jan. 5, 1949, from Senator McCarthy to John R. Price— 114
58. Letter dated Mar. 2, 1949, from John R. Price to Senator McCarthy.. 114
59. Letter dated Mar. 10, 1949, from Senator McCarthy to John R. Price__ 115
60. Letter dated Aug. 25, 1950, from Senator McCarthy to Appleton State
Bank 115
61. Letter dated Oct. 3, 1951, from Senator McCarthy to Appleton State
Bank 116
62. Letter dated Oct. 5, 1951, from Appleton State Bank to Senator
McCarthy 116
64. National Savings & Trust savings ledger No. 62950 for Joe McCarthy— 117
65. National Savings & Trust savings deposit slip dated Sept. 7, 1950, for
Joe McCarthy 118
66. Alvin Bentley check for $3,000 to Joseph R. McCarthy, dated Sept. 5,
1950 119
67. Ledger of account of Mrs. Ax-villa P. Bentley, Riggs Bank 120
68. Letter dated Sept. 29, 1950, from Senator McCarthy to National Sav-
ings & Trust 121
69. National Savings & Trust check to Van Straten, dated Sept. 29, 1950— 122
70. Van Straten regulated grain a/c at Wayne-Hummer & Co 123
71. Wayne-Hummer check to Van Straten for .$10,000, dated Nov. 27, 1950- 124
72. Riggs Bank deposit ticket of Senator McCarthy dated Dec. 4, 1950 125
73. Van Straten regulated grain a/c at Wayne-Hummer & Co 126
74. Wayne-Hummer check to Van Straten for $1,.50(), dated Dec. 19, 1950— 127
75. Wayne-Hummer check to Van Straten for $3,000, dated Jan. 16, 1951— 128
76. Appleton Bank deposit slip dated Dec. 19, 1950, for Van Straten 129
77. Appleton Bank deposit slip dated Jan. 16, 1951, for Van Straten 130
78. Appleton Bank 12-page checking ledger for Van Straten 131
79. Schedule — Security Sales— Henry J. Van Straten 1946-52, Wayne Hum-
mer & Co., and Paine, Webber, Jackson and Curtis 143
80. Schedule — Van Straten regulated grain a/c at Paine, Webber, Jackson
& Curtis 144
81. Schedule — Van Straten regulated grain a/c, Wayne Hummer & Co 145
82. Riggs mail deposit slip for Senator McCartby special account, dated
May 11, 1950 146
83. Riggs mail deposit slip for Senator McCarthy special account, dated
June 2.'5, 1950 147
84. Rigirs checking ledger for Senator McCarthy special account, 7 pages— 148
85. 43 Riggs deposit slips for Senator McCarthy special account, date start-
ing May 4, 1950 155
86. Riggs checking ledger for Senator McCarthy, 39 pages 178
87. Riggs checking ledger for Ray Kiermas, 21 page: 217
88. Riggs deposit slip for Senator McCarthy, dated Aug. 10, 1949 238
89. Schedule, Senator McCarthy gain or loss in 194.^ sale of securities 239
90. Schedule, Senator McCarthy funds received from Wavne-Hummer,
1944 1. 240
91. Schedule — Senator McCarthy's loan a/c, Appleton State Bank 241
92. Senator McCarthy collateral register No. 2.377, Appleton State Bank— 243
93. Senator McCarthy collateral pledge to Appleton State Bank 244
67
Page
94. Letter dated Nov. 28, 1047, from Schuh to Senator McCarthy 245
95. Letter dated Jan. 4. 1049, from Sehiih to Senator McCarthy, 2 pages__ 246
96. Letter dated Sept. 29, 1048, from Schiih to Senator Mcl^arthy 248
97. Letter dated Jan. 19, 1949, from Schuh to Senator McCarthy 249
97A. Letter dated Jan. 25, 1949, from Senator McCarthy to Schuh 250
97B. Letter dated Feh. 4, 1940, from Schuh to Senator McCarthy 251
98. Letter dated June 2, 1949, from Schuh to Senator McCarthy 252
98A. letter dated June 4, 1940, from Senator McCarthy to Schuh 253
98B. Letter dated Sept. 20, 1049, from Schuh to Senator McCarthy 254
98C. Letter dated Nov. 25. 1949, from Schuh to Senator McCarthy 255
98D. Letter dated Jan. 19, 1950, from Schuh to Senator McCarthy 256
98E. Letter dated May 2, 1950, from Schuh to Senator McCarthy 257
99. Letter dated Sept. 14, 1951, from assistant cashier to Senator
McCarthy 258
100. CoUateral schedule — Senator McCarthy's loan, Appleton State Bank— 259
101. Election tinancial statements of Committee to Elect Joseph R. Mc-
Carthy, filed Aug. 8 and 18, 1944 260
102. Summary schedule — Funds deposited Riggs Bank by Senator Mc-
Carthy and Ray Kierinas 266
103. Summary schedule — Deposits, Ray Kiermas, Rigss Bank 267
104. Schedule — Transfer of funds between Senator McCarthy and Kiermas- 268
105. Letter dated Apr. 15, 1947, from Senator McCarthy to Schuh 269
106. Letter dated July 12, 1947, from Senator McCarthy to Schuh 270
107. Letter dated Sept. 2, 1947, from Schuh to Senator McCarthy 271
108. Letter dated Sept. 9. 1947, from Kiermas to Schuh 272
109. Letter dated Oct. 16, 1947, from Schuh to Senator McCarthy 273
109A. Letter dated Apr. 5, 1948, from Schuh to Senator McCarthy, 2 pages_ 274
109B. Letter dated Apr. 16, 104S, from Schuh to Senator McCarthy 276
110. Letter dated Mar. 5, 1051, from Tibhetts to Senator McCarthy, 2 pages. 277
111. Dani.'l F. Rice customers card for William P. McCarthy, 2 pages 279
112. Appleton State Bank check to Kiermas for $5,000 dated Aug. 25, 1948- 281
113. Riggs checking ledger sheet for Kiermas 282
114. Schedule — William P. McCarthy grain transactions 283
115. Daniel F. Rice check No. 5751 for $10,000 dated Fob. 10. 1949 284
116. Appleton State Bank check to Wayne Hummer for $12,613.10 dated
Mar. 3. 1940 285
117. Appleton State Bank collateral register No. 2937 dated April 4, 1949,
for Senator McCarthy 286
117A. Wa.vne Hummer ledger of Senator McCarthy showing stock pur-
chased 287
118. William P. McCarthy commodity account with Daniel F. Rice Co_.._ 288
119. First National Bank of Chicago, check to D. F. Rice & Co. for $2,000
dated Jan. 20. 1951 289
120. D. F. Rice check No. 11102 for William P. McCarthy dated Mar. 9, 1951,
for $7,150. 2 pages 290
121. Julia Connolly grain account schedule for 1951 291
122. Julia Connolly commodity account with Daniel F. Rice & Co 292
123. First Wisfonsin National Bank savings account ledger for William P.
McCarthy, 2 pages 293
124. First Wisconsin National Bank savings account ledger for William
P. and Julia McCarthy 295
125. First Wisconsin National Bank check to William P. McCarthy for
$3,124.72. dated June 24, 1048 296
126. Transcript, First National Bank of Chicago savings account ledger for
Julia and William P. McCarthy, 3 pages 297
127. Wisconsin income tax return for Senator McCarthy, dated 1949,
15 pages 300
128. Schedule of fdione calls to Kohlberg, 2 pages 311
129. Wisconsin statutes, 10.39 313
130. Wisconsin statutes, 1949, 3 pages 314
131. Appleton Bank loan ledger of Senator McCarthy, Feb. 13, 1945-July
20, 1946 317
132. Appleton Bank che^-k to Wayne-Hunmier for $140,176.06 318
133. Appleton Bank omnibus stock trading account at Wayne-Hummer,
3 pages 319
134. Letter dated Apr. 22, 1947, from Schuh to Senator McCarthy 322
58
Page
135. Letter dated Mar. 14, 1949, from Schuh to Senator McCarthy 323
136. Election financial statements of Joseph R. McCarthy filed Aug. 8 and
19, 1944, 5 pages 324
137. Questionnaire dated Sept. 20, 1944, of Joseph R. McCarthy filed with
Special Committee to Investigate Senatorial Campaign Expendi-
tures, 1944, 5 pages 329
138. Election financial statement, Appleton McCarthy for Senator Club,
filed Aug. 24, 1946, 4 pages 334
139. Election financial statements, Milwaukee County McCarthy for Sena-
tor Club, filed Aug. 3, Sept. 11, Oct. 26, and Nov. 23, 1946, 14 pages__ 338
140. Election financial statements, McCarthv for Senator Club, filed Aug.
3, Sept. 3, Nov. 1, and Nov. 26, 1946, 19 page.s 352
141. Questionnaire dated Aug. 22, 1946, of Joseph R. McCarthy, filed with
Special Committee to Investigate Senatorial Campaign Expendi-
tures, 1946, 6 pages 371
142. Appleton Bank account No. 18267, for Kiermas and wife 377
143. Appleton Bank collateral pledge dated Sept. 6, 3946, by Kiermas 378
144. Appleton Bank collateral pledge dated Sept. 6, 1946, by Kiermas 379
145. Appleton Bank collateral pledge dated Oct. 10, 1946, by Kiermas 380
146. Letter dated May 14, 1947, from Schuh to Kiermas 381
147. Appleton Bank collateral pledge dated Oct. 13, 1948, by Kiermas 382
148. Appleton Bank collateral pledge dated Feb. 17, 1949, by Kiermas 383
149. Senator Benton order of Aug. 4, 1950, for 102,000 copies of speech 384
150. Senator Benton check of Aug. 7, 1950, to Public Printer 385
151. Walter CosgrifE check to Senator Benton for $300 dated Aug. 21, 1950- 386
152. Riggs deposit slip of Sept. 19, 1950, for Senator William Benton 387
153. Riggs checking ledger for Hon. William Benton, 13 pages 388
Exhibit No. 1
S. Res. 187. 82d Congkess, Ist Session
IN THE SENATE OF THE UNITED STATES
August 6 (legislative day, August 1 ) , 1951
Mr. Benton submitted the following resolution ; which was referred to the
Committee on Rules and Administration
RESOLUTION
Whereas the Subcommittee on Privileges and Elections of the Committee on
Rules and Administration has made a unanimous report to such committee with
respect to the 1950 Maryland senatorial general election ; and
Whereas such report contains findings with respect to the financing of the
campaign of Senator John Marshall Butler as follows :
"1. As a result of the investigation and hearings of this subcommittee, Jon M.
Jonkel, the campaign manager of Senator Butler, has been indicted, pled guilty
to, and has been sentenced for violation of the Maryland election laws for failure
to properly report contributions and expenditures in the Butler campaign.
"2. Not only were substantial sums of contributions and expenditures not
properly reported to Maryland authorities as required by law, but also a proper
accounting was not made to the Secretary of the Senate as required by the
Federal Corrupt Practices Act." ; and
Whereas such report, with respect to the literature used in the campaign of
Senator John Marshall Butler, contains findings as follows :
"1. ♦ • •
"The tabloid From the Record contains misleading half truths, misrepresenta-
tions, and false innuendos that maliciously and without foundation attack the
loyalty and patriotism not only of former Senator Millard Tydings, who won
the Distinguished Service Cross for battlefield heroism In World War I, but
also the entire membership of the Senate Armed Services Committee in 1950.
"2. Its preparation, publication, and distribution were the result of a com-
bination of forces, including Senator Butler's own campaign organization.
"3. The tabloid, disregarding simple decency and common honesty, was de-
signed to create and exploit doubts about the loyalty of former Senator Tydings.
"4. It could never have been the intention of the framers of the first amendment
to the Constitution to allow, under the guise of freedom of the press, the publica-
tion of any portrayal, whether in picture form or otherwise, of- the character
of the composite picture as it appeared in the tabloid From the Record. It was
a shocking abuse of the spirit and Intent of the first amendment to the Constitution.
"5. The tabloid From the Record was neither published nor in fact paid for
by the Young Democrats for Butler. Their alleged sponsnr.«;lilp for this publica-
tion was nothing more than a false front organization for the publication of the
tabloid by the Butler campaign headquarters and outsiders associated with it.
In the judgment of the subcommittee, this is a violation of the Federal and
State laws requiring i>ersons responsible for such publications to list the organ!
zations and its officers." ; and
Whereas such subcommittee report contains findings with respect to the par-
ticipation of Senator Joseph R. McCarthy in such campaign as follows:
"3. Senator Joseph R. McCarthy, of Wisconsin, was actively interested In the
campaign to the extent of making his staff available for work on research, pic-
(59)
60
tures, composition, printing of the tabloid From the Record. Members of his
staff acted as couriers of funds between Washington and the Butler campaign
headquarters in Baltimore. Evidence showed that some of the belatedly re-
ported campaign funds were delivered through his office. His staff also was
instrumental in materially assisting in the addressing, mailing, and planning
of the picture-post-card phase of the campaign." ; and
Whereas such subcommittee unanimously included in its specific conclusions
and recommendation to the committee the following :
"5. The question of unseating a Senator for acts committed in a senatorial
election should not be limited to the candidates in such elections. Any sitting
Senator, regardless of whether be is a candidate in the election himself, should
be subject to expulsion by action of the Senate, if it finds such Senator engaged
in practices and behavior that make him, in the opinion of the Senate, unfit to
hold the position of United States Senator." : Now therefore be it
Resolved, That the Committee on Rules and Administration of the Senate is
authorized and directed to proceed with such consideration of the report of its
Subcommittee on Privileges and Elections with respect to the 19.50 Maryland
senatorial general election, which was made pursuant to S. Res. 250, Eighty-first
Congress, April 13, 1950, and to make such further investigation with respect to
the participation of Senator Joseph R. McCarthy in the 1950 senatorial campaign
of Senator John Marshall Butler, and such investigation with respect to his
other acts since his election to the Senate, as may be appropriate to enable such
committee to determine whether or not it should initiate action with a view
toward the expulsion from the United States Senate of the said Senator Joseph
R. McCarthy.
ISXHIBIT No. 2
United States Senate,
Committee of Expendituees in the Exectjtive Departments,
September 17, 1951.
Senator Guy M. Giixette,
Chairman, Suicommittee on Privileges and Elections,
Senate Office Building, Washington, D. C.
Dear Senator Giixette : I understand that your subcommittee is planning on
starting hearings Thursday of this week on the question of whether your sub-
committee should recommend that McCarthy be expelled from the Senate for
having exposed communists in government. I understand further that the only
two witnesses who have asked to appear to date are William Benton, former
Assistant Secretary of State and a friend and sponsor of some of those whom
I have named, and the American Labor Party, which has been cited twice as a
Communist front.
I understand that, under Senate precedent, members of a full committee have
always had the right to question witnesses who appear before a subcommittee of
their own committee. This I propose to do in the case of witnesses who appear
to ask for my expulsion because of my exposure of communists in government.
In view of the fact that your subcommittee, without authorization from the
Senate, is undertaking to conduct hearings on this matter, it would seem highly
irregular and unusual if your subcommittee would attempt to deny me the right
to question the witnesses, even had I not been a member of the full committee.
If there is any question in your mind about my right to appear and question the
witnesses, I would appreciate it greatly if you would inform me immediately.
If your subcommittee attempts to deny me the usual right to appear and
question the witnesses, I think it might be well to have the full committee meet
prior to the date set for your hearings to pass upon this question. For that reason,
it is urgent that you inform me immediately what your position is in the matter.
Sincerely yours,
Joe McCarthy
Joe McCabtht.
McC:d
61
Exhibit No. 3
SEPTEMBcat 25, 1951.
Honorable Joseph R McCarthy,
United States Senate.
My Dear Joe : I promised to tell you the decision of the Subcommittee on
Privileges and Elections as to procedure as soon as they had made the decision.
They are goins to take up the Benton Resolution at 9 : 30 A. M., Friday, September
28, in Room 457. At that time, they are going to hear Senator Benton's statement.
They voted to hear the Senator in Executive session but also voted that you could
be present if you so desired and if time permitted, to make a statement at this
same meeting. It was also decided that there should be no cross-examination
except by the members of the Subcommittee.
A further decision was made that if additional evidence is taken, it will be
governed by rules of procedure determined after this first meeting.
With personal greetings, I am
Sincerely,
Guy M. Gillette.
GMG : dd
Exhibit No. 4
October 1, 1951
Hon. Joseph R. McCarthy,
United States Senator, Washington, D. C.
My Dear Senator: On last Friday, September 28, Senator Benton appeared
before the Subcommittee on Privileges and Elections and presented a statement
in support of his resolution looking to action pertaining to your expulsion from
the Sen;iie. You had been lulvisfd that you fi»uld attend this meeting which
was a public one, but without the right of cross-examination of Senator Benton.
The Subcommittee recessed to reassemble on call of the Chairman. The Chair-
man announced at the close of the meeting that an opportunity would be accorded
Senator McCarthy to appear and make any statement he wished to make con-
cerning the matter and with the right of Senator Benton to be present, but with-
out any right on the part of Senator Benton to cross-examine you in any way.
This is to notify you that this action was taken and the Subcommittee will be
glad to hear you at an hour mutually convenient. It is hoped that if you desire
to appear and make any statement in connection with this matter, that a time can
be fixed before the 10th of October. I should be glad to have your comment
relative to a convenient time for you if you desire to come before us. If you
do not so desire I shall appreciate it if you will advise us of that fact.
With personal greetings, I am
Sincerely,
Gtty M. Gillette
Exhibit No. 5
[Copy]
"A"
October 4, 1951.
The Hon. Guy M. Gillette,
United States Senate, Washington, D. O.
Dear Gitt: This is to acknowledge receipt of your letter of October 1 in which
you offer me an opportunity to appear before your committee and answer Senator
Benton's charges.
Frankly, Guy, I have not and do not intend to even read, much less answer,
Benton's smear attack. I am sure you realize that the Benton type of material
can be found in the Daily Worker almost any day of the week and will continue to
J. 236027-
62
flow from the mouths and pens of the camp-followers as long as I continue my
fight against Communists in government.
With kindest personal regards, I am
Sincerely yours,
Joe McCabtht.
McCrct
Exhibit No. 6
[Copy]
"B"
Decembee 6, 1951
Senator Guy Gillette,
Chairman, Elections Subcommittee,
United States Senate, Washington, D. C.
Dear Mr. Chairman : As you of course know, your elections subcommittee has
the power and the duty to carefully investigate any valid claims of irregularity
or dishonesty in the conduct of campaigns for the United States Senate.
As you and all the members of your subcommittee know or should know, the
elections subcommittee, unless given further power by the Senate, is restricted
to matters having to do with elections. The Senate could, of course, by a majority
vote give your subcommittee power to conduct an unlimited investigation of any
Senator. Such power was not asked for nor given to your elections sub-
committee.
However, over the past months, it has been repeatedly brought to my attention
that a horde of investigators hired by your committee at a cost of tens of
thousands of dollars of taxpayer's money, has been engaged exclusively in try-
ing to dig up on McCarthy material covering periods of time long before he was
even old enough to be a candidate for the Senate — material which can have no
conceivable connection with his election or any other election. This is being
done in complete disregard of the limited power of your elections subcommittee.
The obvious purpose is to dig up campaign material for the Democrat Party
for the coming campaign against McCarthy.
When your elections subcommittee', without Senate authorization, spends tens
of thousands of taxpayers' dollars for the sole purpose of digging up campaign
material against McCarthy, then the committee is guilty of stealing just as
clearly as though the members engaged in picking the pockets of the taxpayers
and turning the loot over to the Democrat National Committee.
If one of the Administration lackies were chairman of this committee, I would
not waste the time or energy to write and point out the committee's complete
dishonesty, but from you. Guy, the Senate and the country expect honest ad-
herence to the rules of the Senate.
If your committee wanted to dig up campaign material against McCarthy at
the expense of the taxpayers, you were in all honesty bound to first get the
power to do so from the Senate, which the Senate had a right to give and might
have given. But your committee did not risk asking for such power. Instead,
your committee decided to spend tens of thousands of dollars of taxpayers money
to aid Benton in his smear attack upon McCarthy.
Does this mean, that if a Benton asks your committee to do so, you will put an
unlimited number of investigators at unlimited cost investigating the back-
ground of the other 95 Senators so their opponents can use this material next
election? Or is this a rule which applies only to him who fights Communists in
government? Let's get an answer to this, Guy. The people of America are
entitled to your answer.
While the actions of Benton and some of the committee members do not sur-
prise me, I cannot understand your being willing to lable Guy Gillette as a men
who will head a committee which, is stealing from the pockets of the American
taxpayer tens of thousands of dollars and then using this money to protect the
Democrat Party from the political effect of the exposure of Communists in
government. To take it upon yourself to hire a horde of investigators and
spend tens of thousands of dollars without any authorization to do so from the
63
Senate Is labeliug your elections subcomiiiitteo as even more dish(>r;est fhau was
the Tydings Committee.
Sincerely yours,
Joe McCaktuy
McC : d
KxHiniT No. 7
[Copy]
decemuer 6, lyni
Senator Joseph R. McCarthy,
United States Senate, Washington, D. C.
My I)ea.r Senator : Your letter dated December 6tb and referring to the W(»rk
of the Senate Subcommittee on Triviie^es and Elections in the discharge of its
duties relative to Resolution No. 187 lias just been received by messenger. This
Resolution, on its introduction by Senator Benton, was referred by the Senate
to the Committee on Rules and Administration, of which you are a member.
This Committee, in its turn, referred the Resolution to its Subcommittee on
Privileges and Elections, of which I am the Chairman.
Our Subcommittee certainly did not seek or welcome the unpleasant task of
studying and reporting on a resolution involving charges looking to the ouster
of one of our colleagues from the Senate. However, our duty was clear in the
task assigned to us and we shall discharge that duty in a spirit of ulmo.st fairness
to all concerned and to the Senate. We have ordered our staff to study and
report to us on both the legal and factual phases of the resolution. On receiving
these reports the Suticommittee will then determine its course in the light of its
responsibilities and authority.
Your information as to the use of a large staff and the expenditure of a large
sum of money in invt^stiuatioiis relative to the resolution is. of com so, erroneous.
May I also assure yon tbiit no in<lividn;t;s or >: roups futsidi of the Subcommittee
membership have had or will have any influence whatever in the work assigned
to us to do.
With personal greetings, I am
Sincerely,
Guy M. Gillette
GMG : cc
Exhibit No. 8
[Copy]
December 7, 1951
Senator Guy Gillette,
Chairman, Subcommittee on Elections,
United States Senate, Washington, D. C.
Dear Senator Gillette : I would very much appreciate receiving the following
information :
(1) The number of people employed by the Elections Subcommittee, together
with information on their employment background, the salaries they receive, and
the length of time they have been employed.
(2) The names of tlie above individuals who have been working on the
investigation of Senator McCarthy.
(3) Whether they have been insti'ucted to restrict their investigation to
matters concerning elections.
(4) If the investigators have been ordered to cover matters other than either
my election or any other election in which I took a part than the theory of the
law under which you feel an Election Subcommittee Is entitled to hire investi-
gators to go Into matters other than those concerned with elections.
I am sure that you will agree that I am entitled to this information.
Sincerely yours,
Joe McCarthy
04
Exhibit No. 9
[Copy]
December 11, 1951
Honorable Joseph R. McCaethy,
United States Senate, Washington, D. 0.
My Dear Senator: I received your letter dated December 7th in which you
make inquiry and request for certain specific information.
As you are a member of the Rules Committee, I feel, as you suggested, that you
are entitled to the information relative to the i)ersonneI employed by the Subcom-
mittee on Privileges and Elections. Your lirst request is as to the number of
people employed by the Elections Subcommittee, their salaries and the length of
time they have been employed. The following is the list employed by the
Subcommittee :
Separated Basic Salary
Employed Position (S) per annum
Grace E. Johnson Dec. 19, 1944 Clerk (Permanent Employee) 4,860
Mary K. Yanick Oct. 1, 1951 Stenographer 2,280
Israel Margolis Aug. 25, 19r)l Assistant Counsel 2,335.47
J. M. Fitzpatrick Oct. 19, 1951 Assistant Counsel Dec. n, 1951 1,149.86
Dan. G. Buckley Oct. 16, 1951 Assistant Counsel Dec. 8, 1951 928.37
Robt. L. Shortley Oct. 16, 1951 Investigator Dec. 8, 1951 1,218.86
This completes the list of employees of the Subcommittee. Three other em-
ployees of the Rules Committee have been performing work for the Subcommittee,
including Mr. John P. Moore, the Chief Counsel. You will note that three of the
six employees of the Subcommittee were taken on in a temporary capacity after
the middle of October and completed their assigned work within a few weeks time.
These men have done some work in connection with the Ohio Senatorial hearing.
You make further inquiry as to what theory of the law the Subcommittee holds
in connection with its investigatory work. We are not working under any
"theory". All the powers that we have derived from delegated responsibilities
assigned to us by the Senate Committee on Rules and Administration. We do not
have, and could not have, any power other than so derived as a subagency of
the standing committee on Rules and Administration.
Sincerely,
Gut M. Gillettb
GMG : re
Exhibit No, 10
[Copy]
"D"
December 19, 1951
Senator Guy Gillette,
Chairman, Svlwomm-ittee on Elections,
United States Senate. Washington, D. C.
Dear Si;n.\tor Gillette : On December 7, 1 wrote you as follows :
"I would very much appreciate receiving the following information :
(1) The number of people employed by the Elections Subcommittee, to-
gether with information on their employment background, the salaries they
receive, and the length of time they have been employed.
(2) The names of the above individuals who have been working on the
investigation of Senator McCarthy.
(3) Whether they have been instructed to re.«;trict their investigation
to matters concerning elections.
(4) If the investigators have been ordered to cover matters otlier than
either my election or any any other election in which I took part, then the
theory of the law under which you feel an Elections Subcommittee is en-
titled to hire investigators to go into matters other than those concerned
with elections.
I am sure you will agree that I am entitled to this information.
Sincerely yours,
/s/ Joe McCarthy"
On December 11 you wrote giving me the names of tho.se employed by the Sub-
committee, stating that two others, whom you did not name, were also doing
Go
work for the Subcommittee. You did not give me the employment backi?f(iund
of the investigators as I nniuested. Why, Senator, do you refuse to give me
the employment backgrountl of those individiialsV
You also failed to tell me whether the investigators have been instrCicted to
extend their investigation beyond matters having to do with elections.
You state that the only power whicli your subcommittee has was derived from
the full Committee. The full Committee appointed you Cliairman of an Elec-
tions Subcommittee, but gave you no power whatsoever to hire investigator:? dnd
spend vast amounts of money to make investigations having nothing to do witli
elections. Again may I have an answer to my questions as to why you feel you
are entitled to spend the taxpayers' money to do the work of the Democratic
National Committee.
As I have previously stated, you and every member of your Subcommittee who
is responsible for spending vast amounts of money to hire investigators, pay
their traveling expenses, etc., on matters not concerned with elections, is just
as dishonest as though he or she picked the pockets of the taxpayers and turned
the loot over to the Democrat National Committee.
I wonder if I might have a frank, honest answer to all the questions covered
In my letter of December 7. Certainly as a member of the Rules Committee and
as a member of the Senate, I am entitled to this information. Your failure to
give this information highlights the fact that your Subcommittee if not con-
cerned with investigating elections, but concerned with dishonestly si^ending the
taxpayers' money and using your Subcommittee as an arm of the Democrat
National Committee.
Sincerely yours,
McC :dr
Exhibit No. 11
[Copy]
/s/ Joe McCaethy
December 21, 1951
Senator Joseph R. McCauthy,
United States Senate, Washington, D. C.
My Dear Senator: Today I received your letter of December 19th quoting
former correspondence in which you had asked for some specitic information
which you feel was not given you in my reply to your former request.
Not only as a member of the Rules Conmiittee, but as a member of the United
States Senate, you were certainly entitled to any factual information relative to
the work of our Subcommittee of Rules and Administration or with reference
to the members of its staff. I shall be very glad to give you such information as
I have or go with you, if you so desire, to the rooms occupied by the Subcommittee
and aid you in securing any facts that are there available, relative to the em-
ployees of the Subcommittee or their work.
I am sure you will agree that this is preferable to an attempt to cover matters
of this kind through an interchange of correspondence. Unfortunately, our pre-
vious correspondence concerning these matters found its way into the public
press and your letters to me were printed in full in the public press even before
I received them. As a former judge you will appreciate, I am sure, the impropriety
of discussing matters pertaining to pending litigation in the public press. The
Senate Committee on Rules and Administration, having referred the Benton
Resolution to our Subcommittee, has placed us in a quasi-judicial position relative
to a matter of outstanding imp<irtance involving the expulsion from the Senate
of a sitting member.
Inquiry has disclosed that it would be impossible for me to call the Subcommittee
together for further consideration of this resolution and its Import before Monday,
the 7th of January, and I am calling a meeting for that date at 10 A. M. in my
o£9ce.
When the Benton Resolution was first referred to the Subcommittee it developed
that there was a difference of opinion among the members ;is to our responsibility
under the reference and tlie terms of the resolution. The Subcommittee ordered
its stafC to make study and report of the legal phases and precedents pertaining
to the questions raised by the resolution and also to report as to certain allegations
of fact contained in the resolution. We are awaiting these reports and, on the
date of the meeting, which I have called for January 7th, it is expected that the
Subcommittee will make a decision as to what further action, if any, it will take
on the resolution.
66
As I have told you before, if you care to appear before the Subcommittee, we
should be jrhid to make the necessary arrangements as to time and place. Your
letter and this roply will be made available to the members of the Subcommittee
by copy and you will be promptly advised as to what action the Subcommittee
dcx'ided to take.
In the meantime, as I have stated above in this letter, I shall be glad to confer
with you personally as to matters concerning our staff and its work.
In closing, may I again assure you that as far as I am personally concerned,
neither the Democratic National Committee, nor any other person or group other
than an agency of the United States Senate has had or will have any influence
whatever as to my duties and actions as a member of the Subcommittee and I am
just as confident that no other member of the Subcommittee has been or will be
so Influenced.
AVfth warm personal greetings and holiday wishes, I am
Sincerely.
GV\ U. GlM.ETTE
GMG :cc
EXHIUIT No. 12
[Copy]
"E"
January 4, 1952
Senator GxTT M. Gillette,
Chairman, Subcommittee on Elections and Privilcgca,
United States Senate, Washington, D. C.
Dear Senator Gillette : Your letter of December '21 has just been called to
my attention. As you know, this was in answer to my letter to you of Decem-
ber 19, in which I asked for certain information.
I can easily understand that you might have some diflaculty answering some of
my questions without first consulting the other members of the subcommittee —
for example, the question as to the theory of the law under which investigators
are being hired and money being spent to investigate matters having nothing
whatsoever to do with elections. There is, however, one simple question which
you could easily answer and I am sure you will agree that I am entitled to the
answer. It is the simple question of whether or not you have ordced the in-
vestigators to restrict their investigation to matters havinu to do with elections,
or whether their investigations extend into fields having nothing whatsoever to
do with either my election or the eloctiori of any other Senator.
Sincerely yours,
/s/ .Toe McCarthy
.Toe McCarthy
]McC :jh
Exhibit No. 12A
[Copy]
January 10, 1952
Senator Joe McCarthy,
United States Senate, Washington, D. C.
My Dear Senator : This is an acknowledgment of the receipt of your letter of
January 4th which has just been brought to my attention. Your letter makes
inquiry as to whether the Subcommittee on Privileges and Elections "ordered
the Investigators to restrict their investigations to matters having to do with
elections, or whether their investigations extend into fields having nothing
whatever to do with either my election or the election of any other Senator."
In reply, you xt-ill recall that the Senate Committee on Rules and Administra-
tion received from the Senate the Benton Resolution calling for a preliminary
Investigation relative to ouster proceedings. The Rules Committee referred the
Resolution to our Subcommittee, as any other piece of legislation would be
referred to a Subcommittee. The Subcommittee met and directed its staff to
make a preliminary study both of the legal phases and precedents pertaining to
this type of action and also a preliminary investigation of the factual matter
charged in the resolution. They were instructed to make these preliminary
G7
studies and report to us at as early a time as ix)ssible. The report on the legal
questions has been received by the Subcommittee and we advise that the report
on the factual charges will be available to us by the end of this week. The
Subcommittee then would study the reports and determine what action, if any,
they wish to take in making their report to the Rules Committee ou the resolution.
The above satement covers the (luestion you asked as to what instructions were
given to the Subcommittee staff relative to the Benton Resolution.
Sincerely,
Gxnr M. Gillette
GMG :cc
ExHiitiT No. 13
[Copy]
March 21, 1932
The Hon. Carl Hayuen,
United States Seriate, Washiniiton, D. C.
Dkar Se.nator Haydkx : Some days ago you handed me a letter from Senator
Gillette, chairman of the Senate Elections Subcommittee, to you as chairman
Of the full committee. At that time you informed me that a majority of the
full committee had adopted the Subcommittee's resolution requesting that I
bring to the floor of the Senate a motion to discharge the Elections Subcom-
mittee. You further stated that the purpose of this motion would be to test
the jurisdiction and integrity of the memt)ers of the Subcommittee.
As I stated to you the other day, I feel it would be entirely improper to dis-
charge the Elections Subcommittee at this time for the following reasons :
The Elections Subcommittee unquestionably has the power and, when com-
plaint is made, the duty to investigate any improper conduct on the part of
-McCarthy or any other Senator in a Senatorial election.
The Subcommittee has spent tens of thousands of dollars and nearly a year
making the most painstaking investigation of my part in the Maryland election,
as well as my campaigns in Wisconsin. The Subcommittee's task is not finished
until it reports to the Senate the result of that investigation, namely whether
they found such misconduct ou the part of McCarthy in either his own cam-
paigns or in the Tydings campaign to warrant his expulsion from the Senate.
I note the Subcommittee's request that the integrity of the Subcommittee be
passed upon. As you know, the sole question of the integrity of the Subcommittee
conc<M-ned its right to spend vast sums of money investigating the life of
McCarthy from birth to date without any authority to do so from the Senate.
However, the vote on that question cannot affect the McCarthy investigation.
In that the Committee for a year has been looking into every possible phase of
McCarthy's life, including an investigation of those who contributed to my
unsuccessful 1944 campaign.
As you know, I wrote Senator Gillette, chairman of the Subcommittee, that
I considered this a completely dishonest handling of taxpayers' money. I felt
that the Elections Subcommittee had no authority to go into matters other than
elections unless the Senate instructed it to do so. However, it is obvious that
in so far as McCarthy is concerned this is now a moot question, because the
staff has already painstakingly and diligently investigated every nook and
cranny of my life from birth to date. Every possible lead on McCarthy was
Investigated. Nothing that could be investigated was left uninvestigated. The
staffs scurrilous report, which consisted of cleverly twisted and distorted facts,
was then "leaked" to the left-wing elements of the press and blazoned across the
nation in an attempt to further smear McCarthy.
A vote of confidence in the Subcommittee would be a vote on whether or not
it had the right, without authority from the Senate, but merely on the request
of one Senator (in the case Senator Benton) to make a thorough and complete
investigation of the entire life of another Senator. A vote to uphold the Sub-
committee would mean that the Senate accepts and approves this precedent
and makes it binding on the Elections Subcommittee In the future.
A vote against the Subcommittee could not undo what the subcommittee has
done in regard to McCarthy. It would not force the subcommittee members
to repay into the Treasury the funds spent on this investigation of McCarthy.
A vote against the Subcommittee would merely mean that the Senate disap-
proves what has already been done in so far as McCarthy is concerned, and
therefore, disapproves an investigation of other Senators like the one which
68
was made of McCarthy. While I felt the Subcommittee exceeded its authority,
now that it has established a precedent in McCarthy's case, the same rule
should apply to every other Senator. If the Subcommittee brousht up this
question before the investisiatioii had been made, I would have voted to dis-
charge it. Now that the deed is done, however, the same rule should apply to
the other 95 Senators.
For that reason, I would be forced to vigorously oppose a motion to discharge
the Elections Subcommittee at this time.
I hope the Senate agrees with me that it would be highly improi)er to discharge
the Gillette-Monroney Subcommittee at this time, thereby, in effect, setting a
different rule for the Subcommittee to follow in case an investigation is asked
of any of the other 95 Senators.
Sincerely yours,
Joe McCarthy
MeC: ct
cc : To all Senators
EXHIRIT No. 14
S. Res. 300, 82u Cx:)Ngkess, 2d Session
IN THE SENATE OF THE UNITED STATES
Apkh, 8 (legislative day, April 2) , 1952
Mr. Hayden (for himself, Mr. Hayden, Mr. Gillette, Mr. Monroney, Mr. Hen-
NiNGS, and Ml". Hendrickson) submitted the following resolution; which was
ordered to lie over under the rule
RESOLUTION
Whereas S. Res. 187, to further investigate the participation of Senator Joseph
R. McCarthy in the Maryland 1950 Senatorial campaign and other acts, to deter-
mine whether expulsion proceedings should be instituted against him, was intro-
duced in the Senate by the Senator from Connecticut (Mr. Benton) on August
6, 1951, and was referred by the Senate to the Committee on Rules and
Administration ; and
Whereas, on August 8, 1951, said resolution was referred by the Committee on
Rules and Administration to its Subcommittee on Privileges and Elections ; and
Whereas, in a series of communications addressed to the chairman of said
subcommittee during the period between December 6, 1951, and January 4, 1952,
the Senator from Wisconsin (Mr. McCarthy) charged that the subcommittee
lacked jurisdiction to investigate such acts of the Senator from Wisconsin (Mr.
McCarthy) as were not connected with election campaigns and attacked the
honesty of the members of the subcommittee, charging that, in their investiga-
tion of such other acts, the members were improperly motivated and were "guilty
of stealing just as clearly as though the members engaged in picking the pockets
of the taxpayers'' ; and
Whereas, on March 5, 1952, the Subcommittee on Privileges and Elections
adopted the following motion as the most expeditious parliamentary method of
obtaining an atfirmation by the Senate of its jurisdiction in this matter and a
vote on the honesty of its members :
"That the chairman of the Committee on Rules and Administration request
Senator McCarthy of Wisconsin to raise the question of the jurisdiction of the
Subcommittee on Privileges and Elections and of the integrity of the members
thereof in connection with its consideration of S. Res. 187 by making a formal
motion on the floor of the Senate to dischaige the committee; and that Senator
McCarthy be advised by the chairman of the Committee on Rules and Adminis-
tration that, if he does not take the requested action in a period of time to be
fixed by stipulation between Senator McCarthy and the chairman of the Com-
mittee on Rules and Administration, the committee (acting through the chair-
man of the standing committee or the chairman of the subcommittee) will itself
present such motion to discharge for the purpose of allirming the jurisdiction
of the subcommittee and the integrity of its members in its consideration of the
aforesaid resolution ;" and
Whereas, on March 6, 1952, the said motion was also adopted by the Com-
mittee on Rules and Administration and the chairman of said committee sub-
69
niitted to the Seuator from Wisconsin (Mr. McCarthy) a copy of the above-stated
motion ; and
Wht'reas, by letter dated March 21, lOM, the Senator from Wisconsin (Mr.
McCartliy) in effect declined to take the action called for by the above-stated
motion, repwitiiig his charge that the subcommittee has been guilty of "a com-
pletely dislionest handling of taxpayers' money", referring to a preliminary and
confidential report of its staff as "scurrilous" and consisting of "cleverly
twisted and distorted facts":
Now, therefore, to determine the proper jurisdiction of the Committee on
Rules ami Aduiinistratioii and to express the confidence of the Senate in its
coniiiiittee in their consideration of S. Kes. 187, it being understood that the
following motion is made solely for this test and that the adoption of the reso-
lution is opposed by the members on wliose behalf it is submitted, be it
Resolved, That the Committee on Rules and Administration be, and it hereby
is, dischai"ged from the further consideration of S. Res. 187.
Exhibit No. 15
Mr. Hayden. Mr. President, I ask unanimous consent that there be printed In
the Record at this point certain precedents of the Senate relating to expulsion,
exclusion, and censure cases unconnected with elections, from 1871 to 19,51.
(There being no objection, the precedents were ordered to be printed in
the Record, as follows : )
Senate IJxput-sion, Exclusion, and Censure Cases Unconnected With Elec-
tions (1871-1951)
pltopositions of 1 aw relating to the .tt'kisdiction and procedire of the subcom-
mittee on privileges and fxection8
/. The jurisdiction of the Subcommittee on Privileges is not limited to election
matters, but extends to expulsion, exclusion, and censure cases totally uneon-
nectcd with the conduct of a Senator in an election
The present source of jurisdiction of the standing committees of the Senate
is rule XXV of the Standing Rules of the Senate (sec. 102 of the Legislative
Reorganization Act of 104G). Under section 1 (o) (1) (D) of this rule, the
Congress has granted jurisdiction to the Committee on Rules and Administration
in the following matters : Election of the President, Vice President, or Members
of Congress; corrupt practices; contested elections; credentials and qualifica-
tions; Federal elections generally; Presidential succession.
The category "credentials and qualifications" authorizes the Committee on
Rules and Administration and its subagent, the Subcommittee on Privileges and
PJlectioiis, to investigate alleged misconduct of a Senator with a view toward
exclusion, expulsion, or punisliment. This conclusion is based upon the history of
the Legislative Reorganization Act of 1946, the precedents of the old standing
Committee on Privileges and Elections, and the general policy of the Reorgani-
>:ation Act against special committees.
(a) The history of the Legislative Reorganization Act of 1946 indicates that the
precedents of the old standing Committee on Privileges and Elections are relevant
in defining the jurisdiction of the present subcommittee.
The history of the act in relation to the Rules Committee indicates that its only
purpose was to consolidate six committees. Audit and Control of the Contingent
Expenses of the Senate, Library, Privileges and Elections, Rules, Printing, and
Enrolled Bills into the single Committee on Rules and Administration (S. Rept.
No. 14(K), 79th Cong., 2d sess., table IL PP- 12-17). See also Senate hearings,
volume 7t;2, page 244, incorporating the remarks of Senator La Follette upon bis
resolution providing for reorganization of Senate committees. There is no indi-
cation tliat, in the process of consolidation, the functions of the old committee
were added to, whittled away, or transfi-rred to other new committees. Hence,
the precedents establislied by the old standing Committee on Privileges and
Elections between 1871 and 1947 are relevant in defining the jurisdiction of the
present Rules Committee and its Subcommittee on Privileges and Elections.
(b) Those precedents establish that the old Committee on Privileges and Elec-
tions possessed jurisdiction in expulsion, exclusion, and censure cases totally
unconnected with the conduct of a Senator in an election.
70
Since 1871, when the standing Committee on Privileges «n»l Elections was first
organized, tljere have been eight cases of expulsion or exclusion proceedings
based on grounds totally unconnected w^ith the election of a Senator. There have
also been three cases of censure unrelated to election conduct. These 11 cases
are digested in the appendix, with emphasis on the procedure employed in each
case. Similar data are also presented in tabular form.
These cases indicate that the Committee on Privileges and Elections, and no
other standing committee, was presumed to have jurisdiction in expulsion and
exclusion cases, even though the matters involved were unconnected with con-
duct of an election. The Patterson case in 1873 was the only case among the
11 which was considered by some other committee. This Avas a select rather
than a standing committee. However, even in the Patterson case, debate on the
floor makes it apparent that the Committee on Privileges and Elections, although
considered the proper committee, preferred to relinquish jurisdiction to a select
committee because it was then preoccupied with other matters.
In addition to the Patterson case, four of the cases were expulsion cases :
William N. Roach of North Dakota (1893) ; John H. Mitchell of Oregon (1C05) ;
Joseph R. Burton of Kansas (1906) ; and Robert M. La Follette (1917-19).
In the Roach case, the Senate debated but did not vote upon resolutions direct-
ing the Committee on Privileges and Elections to investigate charges of pre-
election embezzlement.
Mitchell, indicted for selling his influence, answered the charges against him on
the Senate floor, withdrew from the Senate, and died before the Senate took any
action.
In the Burton case, the Senate by unanimous consent passed a resolution direct-
ing the Committee on Privileges and Elections to examine into the legal effect
of a final judgment of conviction of a Senator who had received compensation
for services rendered before a Government department; Burton, however, re-
signed before the committee took any action.
The La Follette case was instituted by the presentation to the Senate of the
petition of the Minnesota Commission of Public Safety calling for the expulsion
of La Follette for an allegedly disloyal speech. The petition was referred to the
Committee on Privileges and Elections, which held hearings and finally exon-
erated La Follette.
The appendix describes three exclusion proceedings where the alleged grounds
were unconnected with misconduct in an election: Reed Smoot of Utah (1903-
1907) ; Arthur R Gould of Maine (1926) ; and William Langer of North Dakota
(1941).
The Smoot and Langer cases might be categorized as expulsion cases, inasmuch
as the Senate superimposed the requirement that exclusion be by two-thirds.
The Committee on Privileges and Elections, after considering each case, exon-
erated Gould, but recommended the exclusion of Smoot and Langek. The Senate,
however, voted that Smoot and Lan(;kr were entitled to theii- seats.
It is significant that while the jurisdiction of the Senate to inquire into a
Senator's conduct before his election was challenged in these cases, reference of
the matters to the Committee on Privileges and Elections was not questioned.
Finally, there were three censure cases since the founding of the old Committee
on Privileges and Elections : Senators Tillman and McLauriu of South Carolina
(1902) and Hiram Bingham of Connecticut (1929).
Tillman provoked McLaurin into the use of unparliamentary language; where-
upon Tillman left his seat and assaulted McLaurin. It was the Committee on
Privileges and Elections to which the matter was referred. The committee re-
ported a resolution of censure, which the Senate adopted.
In the Bingham case, a Judiciary subcommittee investigating lobbies reported
that Senator Bingham had appointed an official of a manufacturers' association
to his staff and had taken him into a confidential committee meeting considering
a tariff bill. The subcommittee, however, did not suggest action against Bing-
ham. The question of punishment was raised on the floor by Senator Norris,
who offered a resolution of censure. This resolution was debated, amended, and
approved by the Senate.
(c) The language and policy of the Reorganization Act opiwsed jurisdiction
in any otiier standing committee or in a select committee.
Rule XXV contains no language which would support jurisdiction in expul-
sion matters in any standing committee other than the Rules Committee. Further-
more, the history of the Reorganization Act indicates that the draftsmen were
motivated by a policy against select committees (S. Rept. No. 1011, 79th Cong.,
2d sess., p. 6), and the Senate bill (S. 2177, sec. 120) contained a prohibition of
71
special or select coiiuiiiUoos. Altlioiii;h the llonsc cliniinat.'d tho Hat l>ui> oa
select committees in the titial version oi the Ueoifiani/.ation Act, it was ainiareiitly
the liope of the draftsmen of riUe XXV that its hniKHi'i-'e would cover the wliole
field of senatorial action, with the result that any bill, resolution, or hn'uiorial
could be referred to the appropriate slaiidiii^i committee. Thus, the history
and lanjiuage of the le^^islalive Iteorganizalion Act allirniativfly support the
jurisdiction of the Rules ("i>mmittee in expulsion cases and oppose the jurisdic-
tion of any other standing conmiittee or of a select committee.
II. The Subcommittee on Prii-ilrgcs nud Elections posscsscn lajal authority to
7nake investigation of charges of alleged misconduct by a Senator, to hold
public hearings, and to report to the Rules Committee a resolution of expulsion,
censure, or exoneration
(a) Section 134 (a) of the Legislative Keorganization Act provides: "Each
standing committee of the Senate, including any subcommittee of any such
committee, is authorized to hold such hearings, to sit and act at such times and
places during the sessions, recesses, and adjourned periods of the Senate, to
require by subpeua or otherwise the attendance of such witnesses and the pro-
duction of such correspondence, boolcs, papers, and documents, to take such
testimony and to make such expenditures (not in excess of $10,000 for each
committee during any Congress) as it deems advisable. Each such committee
may make investigations into any matter within its jurisdiction, may report such
hearings as may be had by it, and may eniploy stenographic assistance at a cost
not exceeding 25 cents per hundred words. The expenses of the committee shall
be paid from the contingent fund of the Senate upon vouchers approved by the
chairman."
Thus, if it is conceded that the Sultcommittee on Privileges and Elections
possesses jurisdiction in expulsion cases, it follows from section 134 (a) that the
subcommittee has the power to make investigations and hold hearings in an
expulsion case without obtaining specific autliorization from the Senate or from
the Rules Committee.
(b) The precedents of the old standing committee indicate that investigations
have been commenced both with and without specific Senate authorization or
direction.
The old Committee on I'rivileges and Elections was presented with five cases
of expulsion or exclusion unconnected with an election. In three of these
cases, tho3e of Smoot, Burton, and Gould, the Senate adopted resolutions direct-
ing an investigation of the charges against the respective Senators. In the other
two cases, those of La FoUette and Laxgek, the petitions ami protests of private
citizens were referred by the presiding ofticer to the Committee on Privileges and
Elections, which then conducted investigations without obtaining resolutions of
authorization from the Senate.
These precedents indicate that the legal power of the subcommittee to conduct
investigations of its own motion is not subject to question ; and, also, that the
subcommittee may act under a resolution formally adopted by the Senate.
72
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Appendix op ExPtrLSioN, Exclusion, and Censure Cases Since the Organea-
TION OF THE COMMITTfJ-l ON PRIVILEGES AND ELECTIONS
1. JAMES W. PATTERSON, OF NEW HAMPSHIRE, FROM MARCH 4, 1867, UNTIL MARCH 3,
1873
On February 4, 1S73, the House of Representatives transmitted to the Senate
a copy of evidence reported by a select investigating committee which investigated
certain Members of the Senate in the credit mobilizer bribery scandal.
It was then moved and resolved by unanimous consent to appoint a select
investigating committee for referral of the House message, the committee to
possess the subpena power.
On February 27, 1S73, the select committee submitted a report (No. 519) ac-
companied by the following resolution: "Resolved, That James W. Patterson be,
and he is hereby expelled from his seat as a member of the Senate."
On March 1 and 3, 1S73, the Senate debated the question of taking up the report
of the committee for consideration, but adjourned without actually considering
the resolution.
Mr. Patterson's term then ended, and he did not return to the Senate.
At a special session in March of 1873 the Senate agreed to a resolution which
pointed out that it was impossible to consider the expulsion I'esolution at the
previous session and that it was questionable whether it was competent for the
Senate to consider the same aftor Mr. Patterson had ceased to be a Member.
It therefore merely resolved to print Mr. Patterson's pamphlet. Observations on
the Report of the Committee of the Senate of the United States Respecting the
Credit Mobilizer of America.
(Citations: Senate Election Cases, vol. I, pp. 120&-1211 ; Senate Journal, 42d
Cong., 3d sess. ; S. Pept. 519, 42d Cong., 3d sess. ; debate on appointment of
investigating committee. Congressional Globe, pt. 2, 42d Cong., 3d sess., p. 1099;
debate on talcing up report of committee for consideration, Congressional Globe,
pt. 3, 4-:a Vouj:., 3(1 sess., pp. 200N, ijOilli, 21S4, 2185; debate in special session on
resolution to print report and Patterson's pamphlet, Congressional Record, vol.
1, pp. 193-19.7,204.)
2. WILLIAM N. EOACH, OF NORTH UAKO'IA, SPECIAL SESSION OF THE SENATE,
MARCH 4, 1893
On March 28, 1893, Senator Hoar introduced a resolution that "the Committee
on Privileges and Elections be directed to investigate the allegations recently
extensively made in the public press, charging William N. Roach, a Senator
from the State of North Dakota, with the offense of criminal embezzlement, to
report the facts of the transactions referred to, and further to report what is the
duty of the Senate in regard thereto."
This resolution was followed on April 10, 1893, by a substitute by Mr. Hoar,
which added the fact that the alleged criminal embezzlement took place while
Mr. Roach was an oflBcer of a bank in the city of Washington.
Still another substitute was introduced on April 14, 1893, asking that "the
Committee on Privileges and Elections be directed to inquire and consider the
question whether the Senate has authority or jurisdiction to investigate charges
made against a Senator as to conduct or offenses occurring or committed prior to
his election, not relating to his duty as Senator or affecting the integrity of his
election."
Each resolution was ordered to lie over and be printed.
The resolutions were the subject of debate in the Senate April 14 and 15, 1893,
but no vote was taken thereon.
(Citations: Senate Election Cases, vol. I, pp. 809-811; Senator Hoar's first
resolution, Congressional Record, vol. 25, p. 37 ; Senator Hoar's substitute reso-
lution, Congressional Record, vol. 2~), pp. Ill, 112; third resolution. Con-
gressional Record, vol. 25, pp. 137, 138 ; debate on the three resolutions, Con-
gressional Record, vol. 25, pp. 134, 138, 140-154, 155-159, 160-164.)
3. JOHN H. MITCHEXL, OF OREGON, JANtJARY 17, 1905
Mr. Mitchell, rising to a question of personal privilege on January 17, 1905,
gave his answers to an indictment for receiving $2,000 to use his influence as a
Senator in a conspiracy to defraud the United States out of a portion of its
pulilic lands. He then concluded: "Now, having said this much in explanation
of and in answer to the charges against me, and thanking you all sincerely for
74
your courtoous attention, I will not further Intrude on your presence." Mr.
]MitchelI died before his case assumed «ufh a phase as to call for action by the
Senare.
(Citation (not in Senate Election Cases) : Hinds' Precedents ol' the House of
Representatives, vol 2. 1907 ; f 'oxgresstonal Record, 2d sess., ."Sth Cong., pp.
959-96;^.)
4. REED SMOOT, OF UTAH, 1903-7
On Fohrnary 2?>. 100.5, the credentials of Reed Smoot were read and filed. On
the same day Senator Burrows presented a memorial of citizens of Utah, remon-
stratinsT against the admission of Reed Smoot to a seat in the Senate ; this mem-
orial wr.s placed on file. On March 5, 1903, Mr. Smoot was sworn in, his creden-
tials being in order.
On January 16, 1904. a preliminary hearing was held before the Committee on
Privileges and Elections at which counsel appeared for the memorialists and at
which Mr. Smoot also appeared in person and by counsel. Statements were
made by counsel for the respective parties, stating, in a general way, what
they expected to prove and what their claims were as to the legal aspects of the
case. (Senate Election Cases, vol. II, p. 956.)
On January 25, 1904, Mr. Burrows, from the Committee on Privileges and Elec-
tions, reported the following resolution, which was referred to the Committee
to Audit and Control the Contingent Expenses of the Senate:
"Re.9nlred, That the Committee on Privileges and Elections of the Senate, or any
subcommittee thereof, be authorized and directed to investigate the right and
title of Reed Smoot to a seat in the Senate as a Senator from the State of Utah ;
and snid committee, or any subcommittee thereof, is authorized to sit during
the sessions of the Senate and during the recess of Congress, to employ a stenog-
rapher, to sf^nd for persons and papers, and to administer oaths; and that the
expense of the inciuii-y shall be paid from the contingent fund of the Senate
upon vouchers to be approved by the chairman of the committee."
The Committee to Audit and Control the Contingent Expenses of the Senate
re^-ortpd this resolution v.ith a miner amendment.
The Senate proceeded by unanimous consent to consider the resolution, and
agreed to it as amended.
Voluminous testimony was taken by the committee for over a year.
On June 2, 1906. Mr. Burrows, from the Committee on Privilpf'es and Elections,
stated that the committee was divided on the question of the nature of the
resolution which was to follow the accentnncp by the Senate of the committee
report ; whether it should be one to expel the Senator, or whether a declaration
that he was not entitled to his seat would be snfRcient.
On June 11, 1906, l\Ir. Burrows submitted the report of the Committee on
Privileges and Elections (No. 42.53), acoomianied by the following resolution:
"7?r<ioircfi, That Reed Smoot is not entitled to a seat as a Senator of the
United States from the State of Utah."
The report concluded that Mr. Smoot was a member of the First Presidency
and Twelve Apostles of the Mormon Church, which had encouraged the practice
of polygamy contrary to law and had brought about a union of church and
State in Utah contrary to the Constitution of Utah and the Constitution of the
United States; consequently, Jlr. Reed Smoot came to the Senate, not as the
accredited representative of the 'State of Utah in the Senate of (he United
Statps. but as the choice of the hierarchy which controls the church and has
usurped the functions of the State in said State of Utah.
A minority report of five members of the Committee found that the evidence
did not sustain the charges against Smoot.
Tile Senate debated the resolution in December of 1906 and in January and
February of 1907.
It was voted that the resolution be amended as follows: "Two-thirds of the
Senators present concurring therein."
But on February 20, 1907, the resolution as amended was defeated by a vote
of 28 yeas and 42 nays.
(Citations; Senate Election Cases, vol. I, pp. 928-986; presentation of
memorial of citizens of Utah, Congressional Record, vol. 36, pp. 2496. 2689;
swearinsr in of Smoot, and postponement of contest on qualifications. Congres-
sional Record, vol. ,^7, p. 1; resolution authorizing and directing investigation
of the ricrht and title of Smoot, Concressional Record, vol. 38. p. 1100: reporting
of resolution by Committee to Audit and Control the Contingent Expenses of
the Senate — Congressional Record, vol. 38, p. 1239; report by Mr. Burrows that
Smoot was not entitled to his seat, Congressional Record, vol. 40, p. 7715 ; sub-
75
mission of uiajuiity and minority reports, Congkkssional Rkcord, vol. 40, p.
8218; contains citations to the Senate debate on the Smoot Resolution, Senate
Election Cases, vol. I, p. 985 ; votes on the resolution and amendments, Con-
GBESSioNAi. Recokd, vol. 41, pp. 3428-3430.)
6. JOSEPH R. BURTON, OF KANSAS (1006)
Senator Burton was convicted of violating the Federal statute forbidding
Senators or Representatives from receiving compensation for services rendered
before any department of the United States Government.
On May 22, 1003, Senator Hale introduced the following resolution:
"Resolved, That the Committee on Privileges and Elections be, and are hereby,
diiXH'ted to examine into the legal effect of the late decision of the Supreme
Court in the case of Joseph R. Burton, a Senator from the State of Kansas,
and, as soon as may be, to report their recommendation as to what action. If
any, shall be taken by the Senate."
The Vice President then asked : "Does the Senator from Maine desire the
present consideration of the resolution just read?"
Mr. Halk. "It is simply directing the committee to investigate. There is no
objection, I suppose, to the resolution."
Tlie resolution was considered by unanimous consent, and agreed to.
On June 5, 1906, the Vice President laid before the Senate the following
telegram, which was read and ordered to lie on the table:
"ToPEKA, Kans., June J,, 1906.
"Hon. Charles V/. Fairbanks,
"Vice President of the United States,
"Washington, D. C:
"Hon. .T. R. Burton has this day tendered his resignation as United States
Senator fiom Kansas, and I have accepted the Si'me."
No report was ever made to the Senate on the resolution.
(Citations: Senate Election Cases, vol. I, p. 005; submission of resolution,
Congressional Record, vol. 40, p. 7211 ; telegram concerning resignation, CoN-
gressionai. Record, vol. 40, p. 7821.)
6. EGBERT M. LA FOLLETTE, OF WISCONSIN (1917-19)
On September 29, 1917 the Minnesota Commission of Public Safety presented
a petition to the United States Senate in the form of a resolution, whose resolving
clause was as follows:
"Resolved, That the Minnesota Commission of Public Safety respectfully
petitions the Senate of the United States to institute proceedings looking to the
expulsion of the said Robert M. La Follette from the Senate, as a teacher of
disloyalty and sedition, giving aid and comfort to our enemies, and hindering
the Government in the conduct of the war."
This petition resulted from a spewh of alleged disloyal nature delivered by
Senator La Follette in St. Paul, Minn., on September 20. 1917.
Mr. Kellogg presented the petition, and it was referred to the Committee on
Privileges and Elections.
Concerning the referral, Mr. Gilbert E. Roe notes in his brief in behalf of
Senator Piobert M. La Follette, that "Senator La F^ollette was temporarily ab.sent
from the Senate at the time of this proceeding, in attendance upon a meeting
of the Committee on Finance, and had no information cnnceining the presenta-
tion of the resolution or of its references to the Committee on Privileges and
Elections until some time thereafter. He had no opportunity, therefore, him-
self to then move for an investigation of said charges either by special committee
or otherwise."
The Committee on Privileges and Elections then adopted a resolution authoriz-
ing a subcommittee "to investigate the accuracy of the report of the speech deliv-
ered by the Honorable Robert M. La Follette, United States Senator irom the
State of Wisconsin, September 20, 1917, before the Nonpartisan Leairue at St.
Paul ; to investigate the accuracy of the statements made by the Honorable
Robert M. La Follette in said speech; and to report its findings to the full cni-
mittee the first day of the next regular session of Congress, in December 1917."
Hearings were conducted by tlie committee dnrin;; a 14-month period. Con-
gressional precedents and court decisions were reviewed, but no witnesses testi-
fied against La Follette.
76
The committee on January 17, 1919, submitted a report recommending the
adoption of the following resolution :
"Resolved, That the resolution of the Minnesota Commission of Public Safety
petitioning the Senate of the United States to institute proceedings looking to
the expulsion of Robert M. La Follette from the Senate because of a speech
delivered by him at St. Paul, Minn., on September 20, 1917, be, and the same
hereby are, dismissed for the reason that the speech in question does not
justify any action by the Senate."
Senator Poraerene submitted his minority views.
The resolution submitted by the majority of the committee to dismiss the
petition to eject Senator La Follette was adopted by the Senate after a short
debate on January 16, 1919, by a vote of 50 to 21.
(Citations: Senate Election Cases, vol. IL PP- 49-98; hearings before a sub-
committee of the Committee on Privileges and Elections, pt. 1, 65th Cong., 1st
sess. ; pt. 2, 65th Cong., 1st sess. ; pt. 2, 65th Cong., 2d sess., in Senate Hearings,
vol. 188, Senate Library ; exchanges of correspondence between the committee
and Senator La Follette, Senator La Follette's St. Paul speech, brief in behalf
of Senator Robert M. La Follette (filed by his counsel, Gilbert E. Roe (also
Congressional Recokd, vol. 57, pt. 2, pp. 15()6-1522), and Mr. Pomerene's minor-
ity views — S. Rept. No. 614, 65th Cong., 3d sess. ; Senate vote adopting the com-
mittee's resolution, Congression^vt, Record, vol. 57, pt. 2, pp. 1525-1527. )
7. ARTHUR R. GOULD, OF MAINE (1926)
On December G, 1926, the certificate of election of Arthur R. Gould was pre-
sented to the Senate. At that time a resolution was introduced, pointing out that
the press had reported that in 1911 the chief justice of the Supreme Court of New
Brunswick had found in an official opinion that Mr. Gould, "for the purpose of
advancing his own interests," had paid a $100,000 bribe to the Premier of the
Province in connection with a railroad venture. The resolving clause read as
follows :
"Resolved, That in that absence of official information concerning the chai'ge
thus made, the qualifying oath be administered to the member-elect and that
the Committee on Privileges and Elections be, and it hereby is, directed to inquire
into the truth of the facts so reported and recited and to report the same at the
earliest convenient date to the Senate, with such recommendations touching
action by it in the premises as may seem to them warranted."
The resolution was ordered to go over under the rule and the oath was admin-
istered to Mr. Gould.
On the next day, the Senate debated the resolution. Three arguments were
advanced on behalf of Mr. Gould: That tha Senate's authority to investigate the
qualifications of Members was limited to questions of age, residence, and citizen-
ship ; that it had no jurisdiction to inquire into alleged offenses committed prior
to the election of a Senator ; and that the people of Maine, though familiar witli
the charges, had elected Gould by a large majority.
Senator Gould, however, took the floor and stated that he welcomed an inves-
tigation because he felt that he would be vindicated by the Senate as a result
thereof.
The resolution was adopted and referred to the Committee on Privileges and
Elections by a vote of 70 to 7.
From January 4 to January 27, 1927, hearings were held by the committee.
On March 4. 1927, the Committee on Privileges and Elections submitted Senate
Report No. 1715 exonerating Mr. Gould and recommending that "further action
in the instant case bt? not taken, and that the right of the honorable Arthur R.
Gould to a seat in the Senate be confirmed."
(Citations: Introduction of resolution calling for investigation of the charges
against Gould, Congressional Record, vol. 68, pt. 1, pp. 8, 9 ; Senate debate on
the resolution and adoption of the resolution, Congressional Record, vol. 68,
pt. 1, pp. 32-44 ; hearings before a subcommittee of the Committee on Privileges
and Elections, 69th Cong., 2d sess., Senate hearings, vol. 290 in Senate Library ;
S, Rept. No. 1715, Congeessional Recoed, vol. 08, pt. 5, p. 5914.)
8. WILLIAM LANGEB, OF NOETH DAKOTA (1041)
On January 3, 1041, a protest to the seating of William Langer was filed with
the Secretary of the Senate by various citizens. On the same day, Senator
Langer was permitted to take the oath without prejudice, and subject to parlia-
77
mentary ruling that only a majority of the Senate would he required to pass ou
tht> qiialififations of the Senator-elect.
Senator Barklky askeil that the papers, charja;es, affidavits and other docu-
ments whicli were involved in the protest against Senator Lanokb's seating be
referred to the Committee on Privileges and Elections. The Vice President then
declared : "Without objection, it is so ordered."
Hearings were held before the Counuittee ou Privileges and Elections on Jan-
uary 0, 1941 and on January IG, 1041.
A subcommittee conducted preliminary investigations and filed a report for
the use of the committee.
The full committee held hearings November 3 to 18, 1941 and voted by 13 to 3
for the following resolution :
"Resolved, That William Langkr is not entitled to be a Senator of the United
States from the State of North Dakota."
The committee recommended that the Senate cast a vote on the proposition
that the case "does not fall within the constitutional provisions for expulsion
or any punishment by two-thirds vote, because Senator Langer is neither charged
with nor proven to have committed disorderly behavior during his membership
in the Senate." The Senate rejected this proposition by a vote of 45 to 37. The
Senate then voted 52 to 30 in favor of Senator Langei{'s right to a seat.
(Citfjtions: Filing of protest and swearing in of Senator Langkr, Congbes-
8I0NAL Record, vol. 87, No. 1, pp. 1 and 2 ; Kept. 1010, 77th Cong., 2d sess. ; Senate
debate (last 2 days) and vote, Congressional Hecord, vol. 88, pt. 3, pp. 2959,
2970-2978, 303S-3065.)
the three censure cases
1 and 2. Senators Tillman and McLaurin, of South Carolina {February 22, 1902)
Tillman charged on the floor that improper influence had been used in chang-
ing the vote of McLaurin upon the trr.ity which ended the Spanish-American
War. McLaurin deilarcd on the Hour that the statement was a "willful, ma-
licious, and deliberate lie." Tillman jumped forward and struck McLaurin, and
they fought till separated.
A resolution was then passed that the two Senators be "declared in contempt
of the Senate, and the matter be referred to the Committee on Privileges and
Elections with instructions to report to the Senate what action shall be taken
in relation thereto."
The Senate, by a vote of 54 to 12, adopted the recommendation of the com-
mittee :
"That it is the judgment of the Senate that the Senators from South Caro-
lina * * * for disorderly behavior and flagrant violation of the rules of
the Senate * * * deserve the censure of the Senate, and they are hereby
censured for their breach of the privileges and dignity of this body; and from
and after the adoption of this resolution, the action adjudging them in contempt
of the Senate shall be no longer in force and effect."
(Citations: Hinds' Precedents of the House of Representatives, vol. 2, pp.
1138-1142 ; description of the encounter, and Senate order of contempt, Con-
gressional Record, 57th Cong., 1st sess., pp. 2087-2090 ; report of Committee on
Privileges and Elections and vote of the Senate approving the committee's reso-
lution of censure, Congressional Record, 57th Cong., 1st sess., pp. 2203-2207.)
3. Hiram Binghum, of Connecticut (November 4, 1929)
On September 30, 1929, a subcommittee of the Judiciary Committee investigating
lobbies reported that Senator P.inghara had appointed Charles L. Eyanson, assist-
ant to the iiresident of the Manufacturers Association of Connecticut, as a member
of his staff. Eyanson, who was paid i?10,(X)0 by the Connecticut Manufacturers
Association, assisted Senator Bingham in connection with the hearings on the
tariff bill before the Committee on Finance. Eyanson, whom Bin.^ham had sworn
as clerk of the Committee on Territories and Insular Possessions, of which Bing-
ham was chairman, came into secret meetings of the Finance Committee. Eyan-
son turned over his salary as clerk of the Territories Committee to Senator
Bingham, who later transmitted a check of $1,(X)0 to Eyanson when the latter
departed from Washington.
Senator Norris introduced a resolution condemning this conduct.
Senator Bingham replied that there was nothing unethical about hiring Eyan-
son, since his sole purpose was that he "might better to prepared to present the
J. 236027 6
78
case of (his) constituents in Ck)nnecticut, both employers and employees, Iwth
producers and consumers."
After extended debate an amendment disavowing any imputation of corrupt
motives was incorporated into Senator Norris' resolution and the resolution was
agreed to — yeas 54, nays 22 :
"Resolved, That the action of the Senator from Connecticut, Mr. Bingham, In
placing Mr. Charles L. Eyanson upon the official rolls of the Senate and his use by
Senator Bingham at the time and in the manner set forth in the report of the
subcommittee of the Committee on the Judiciary (Kept. No. 43, 71st Cong., 1st
sess.), while not the result of corrupt motives on the part of the Senator from
Connecticut, is contrary to good morals and senatorial ethics and tends to bring
the Senate into dishonor and disrepute, and such conduct is hereby condemned."
(Citations: Cannon's Precedents of the House of Repre.sentatives. vol. 6, pp.
408-410 ; report on lobbyins:, S. Kept. 43. 71st Cong., 1st sess. ; Senator Norris'
resolution. Congressional Record, 71st Cong., 1st sess., p. 5063 ; resolution as
passed, Congressional Record, 71st Cong., 1st sess., p. 5131.)
Exhibit No. 16
S. Res. 304, S2d Congress, 2d Session
IN THE SENATE OF THE UNITED STATES
April 10, 1952
Mr. McCarthy submitted the following resolution; which was referred to the
Committee on Rules and Administration
RESOLUTION
"Whereas the Subcommittee on Privileges and Elections of the Committee on
Rules and Administration has established the precedent that it has the right
and the duty to investigate charges made by any Senator against another Senator ;
and
Whereas Senator Benton, of Connecticut, has conducted a continuous attack
upon Senator McCarthy because of Senator McCarthy's exposure of Communista
and fellow travelers in the State Department ; and
Whereas Senator Benton was for some time Assistant Secretary of State in
char::e of International Information and Cultural Program; and
Whereas a number of the individuals named by Senator McCarthy as either
Communists, fellow travelers, or dupes of the Kremlin were hired or retained
in office by Senator Benton ; and
Whereas, during TBenton's aforesaid Job as Assistant Secretary of State in
Charge of International Information and Cultural Program, the removal of his
assistant, William T. Stone, former coeditor of Amerasia, was recommended
by State Department security officers in the following language : "In behalf
of the above-mentioned, it is recommended that action be instituted to terminate
his services with the State Department immediately. It is suggested, to achieve
this purpose, than an appropriate officer of the Department should inform Mr.
Stone that his continued employment in the Department is embarrassing to the
Department and lie should be given an opportunity to resign. If he sbould not
resign voluntarily, action should he immediately instituted under Civil Service
Rule No. 3 to terminate his service with the Department." But William Benton,
his immediate supervisor, refused to discharge William T. Stone ; and
Whereas William Benton has appeared before loyalty boards to defend those
accused of Communist activities or against whom letters of charges have been
filed ; and
Whereas William Benton, while Assistant Secretary of State in Charge of
International Information and Cultural Program, was responsible for tbe pur-
chase of lewd and licentious literature which also followed the Communist Party
line, such as the "Memoirs of Hecate County" for distribution throughout the
world as part of our educational program, all with the apparent purpose and
obvious result of discrediting America in the eyes of the world; and
Whereas Benton, while Assistant Secretary of State in Charge of International
InfoimatioD and Cultural Program, was also responsible for the purchase and
display in various areas of the world of lewd art works and Communist-produced
art works at great expense to the taxpayer, all with the apparent purpose and
obvious result of discrediting; America in the eyes of the world; and
Whereas a book by Frank Huglies, entitled "Prejudice and The Press" sets
forth that Hiss stated he acted upon the recommendation of Benton in the
selection of certain personnel ; and
Whereas it appears that Benton, as Assistant Secretary of State in Charge of
International Information and Cultural Program, sent proofs of Amerika maga-
zine to Moscow for approval and editing before he ordered the same printed
and distributed at great cost to the taxpayers; and
Whereas it appears that Haldore Hanson, who has been named under oath as
a member of the Communist Party, was retained and defended by William
Benton ; and
Whereas, William Benton, as Assistant Secretary of State in Charge of Inter-
national Information and Cultural Program, defended and retained in his employ,
handling secret material, certain individuals who were publicly exposed by
Congressman Fred Busbey as sympathetic to the Communist cause and doing the
work of the Communist Party ; and
Whereas Benton employed individuals such as Robert T. Miller, who was
publicly described by Congressman Fred Busbey as "one of the most dangerous
Soviet agents ever to infiltrate the Department of State", and who was named
under oath by a Government witness as a Soviet agent; and
Whereas, on July 24, 1946, the Civil Service Commission recommended to
Benton that Miller be discharged on the grounds of disloyalty, which recom-
mendation was ignored by Benton, who retained Miller as chief in charge of
publications in Benton's division: Now, therefore, be it
Resolved, That the Committee on Rules and Administration of the Senate is
authorized and directed to make a complete investigation of all the facts and
circumstances surrounding the aforementioned matters and a complete in-
vestigation of —
(1) campaign funds which were collected by Walter Cosgriflf for Benton's 1950
senatorial campaign and accepted by Benton and unreported by him in violation
of the laws of the State of Connecticut and the Federal laws, as well as all other
moneys collected by or expended by Benton or any individual or campaign com-
mittee acting for or in his behalf ;
(2) the use by Benton of fake television portrayals of Benton during his
19r)0 campaign ;
(3) the extent to which State Department funds have been paid to Benton's
company, Brittanica Films and Enc.vclopedia Brittanica;
(4) the facts surrounding Benton's printing of Encyclopedia Brittanica by
cheap labor in England in order to avoid paying the printer's union scale charged
in America ;
(5) Benton's income tax returns for the years 1047, 194S. 1949, and 19."0 : and
(6) such further investigations with respect to the activities and assoriations
of William Benton as the committee deems necessary in order to recommend to
the Senate appropriate action in the case of William Benton.
Exhibit No. 17
RUy 7, 1952
Honorable .Joseph R. McCarthy,
United States Senate, Washington 25, D. C.
My Dkar Senator : The Subcommittee on Privileges and Elections in executive
session this morning voted to hold public hearings on S. Res. 187 which was
introduced in the Senate by Senator William Benton of Connecticut on August 6,
1951, and was thereafter referred to this Subcommittee for action.
It was f)irther decided that the hearings are to begin on Monday, May 12,
and that the first charge to be heard will be Senator Benton's "Case Number
Two ', wherein it was alleged that you had improperly received a fee of .^10.000
in 1948 from the Lustron Corporation for an article on housing which waa
included in an advertising booklet published by that company.
The Subcommittee has not yet determined the order of witnesses for this
first case but we expect to do so by Friday after consultation with the staff.
In the meantime I do wish to extend to you the opportunity to appear at the
80
hearings for the purpose of presenting testhnony relating to this charge. The
hearings in this case will probably continue for several days and we sliall
make whatever arrangements for your appearance are most convenient for you.
Sincerely,
Guy M. Gillette, Chairman
mky
Exhibit No. 18
United States Senate,
Committee on Appropriations,
May 8, 1952.
Senator Guy Gillette,
Chairman, Subcommittee on Privileges and Elections,
United States Senate. Washington, D. G.
Dear Senator Gili.ette: This is to acknowledge receipt of your letter of
May 7, in which you state that your Subcommittee on Privileges and Elections
plans to hold public hearings on Benton's "Charge No. 2" against me, namely,
that it was improper for me to sell the rights to my housing book to the Lustron
Corporation.
You invite me to testify.
On what point do you desire information?
The following facts are all public information in regard to the sale of my book :
I held a press conference in 1948 when the sale was completed and announced :
( 1 ) The sale of the housing book ;
(2) That Lustron was the buyer;
(3) Tliat Lustron would be the publisher ;
(4) That the book would be sold for 35(} per copy ;
(5) That the contract provided that I would keep the lx)ok up to d:ite
for five years, revising it whenever required by any changes in legislation,
lending practices, or other matters affecting housing ;
(6) That I had been working on the book for over a year and that every
line had been checked for accuracy by every government agency concerned
with housing.
At that time Lustron had been loaned money by the RFC, but was apparently
flourishing and producing an excellent prefabricated house.
During the housing hearings which were held throughout the country, I found
that a vast number of young men were not even remotely aware of how to take
advantage of the many housing aids which we had provided for them by law.
I felt that writing a simple explanatory book so that every young man who desired
to buy or build a home could easily understand how to take advantage of the
aids which we had provided for him by law was even more importaQt than
passing the proper laws. I proceeded to do this task.
Lustron offered a royalty of 10^ per copy and promised the widest circulation
of any of those who were bidding on the book. The Congressional Record of
June 19, 1950 contains the correspondence which I had with a great number of
publishers whom I attempted to interest in putting out this book at a low retail
cost. This correspondence starts on page A-4764. The publishers' replies boiled
down to the statement that they could not afford to publish such a specialized
book at a low cost.
In I9r)0, after RFC had foreclosed on Lustron, Senator Fulbright's committee
made a thorough investigation of Lustron. Senator Fulbright, who by the greatest
stretch of the imagination could not be considered a friend of mine, was unable
to produce any evidence that McCarthy ever directly or indirectly Interceded with
any government agency in behalf of Lustron. The unquestioned evidence before
that committee was that '^Senator McCarthy has never been interested in Lustron,
has never interceded for Lustron, has never done anything to influence any
particular thing for Lustron." (Page 201, Senate Banking and Currency Com-
mittee, June 26, 19."j0) . The evidence also shows (page 200) that Lustron received
$46,000 for the sale of this book with an advertising pamphlet. Apparently the
purchase and sale of this book was Lustron's only profitable venture.
I understand that even though your investigators have been very painstaking
in their attempts, they have been unable to find even a telephone call I made to
anyone in behalf of Lustron. If the Administration k j-w at a single contact
which I ever made with RFC or any other government agency in behalf of
Lustron, they would hardly be keeping it secret to protect McCarthy.
81
1 am curious to know what new facts you exiwct to pioduct' for tlie iMUflit i)f
the public at tliis public hearing.
Perhaps you are goiug to produce evidence to show tliat tlie day the contract
was signed, November 12, liMS, ten days after the Republicans lost control of the
Senate and the House and were defeated in the I'resideiUial race, Lustron boujrlit
this book from me because of the tremendous inthieiue which I iiave with the
Democrat Administration. Or perhaps you hope to prove that the preparati(Hi
of the book and the contract to keep it up to date for five years was worth less
than lO*;^ a copy. If so, I wonder if you plan on proving that some of the speeches
which a sizable number of your Democrat friends make and magazine articles
and books which tliey have written for a fee are worth less than the fee paid.
The announcement that you are holding public hearings after nearly a year of
investigation carries the implication that there is some improper conduct in con-
nection with the sale of the publication to Lustron. I would like to know what
you claim that improper conduct to be. I assume you do not claim it is improper
for a Senator to write a book or magazine article, because if so, you will have
to call many of your I>emocrat friends before you.
If the "improper conduct" is the sale by a Senator of a book or a magazine article
to an apparently flourishing corporation which has an RFC loan, no hearing of
any kind would be necessary, because there can be no dispute about the fact that
the book was sold to Lustron and that Lustron did have an RFC loan. Therefore,
I assume that I am not unreasonable in asking you what new facts or proof you
expect to produce at the public hearings. Certainly, you would not be using the
hearing merely as a sounding board for more of the Benton type of smear attacks.
In this connection I call your attention to the fact that Benton, who has made
the complaint, has been selling his publications and lilms directly to the State
Department. Do you plan upon investigating this matter? Or, like Benton, do you
consider it proper for a Senator to take money directly from a government
agency but improper to deal with a private firm which has a loan from a govern-
ment agency.
As Chairman of the conuuittee investigating Benton's charges, I am sure you
are aware that VoJUical Affairs, the official Communist Party publication which
sets forth the current tasks and problems of the Party, has ordered Communist
Party members to "support the Benton Resolution to oust Mc<^arthy from the
Senate." (Political Affairs, October, 1951, page 29.) This publication has been
labelled by the House Committee on Un-American xVctivities as the theoretical
organ of the Communist Party.
Shortly before Benton appointed himself to lead the fight to smear and discredit
McCarthy, the Communist Party through its then secretary, (Ins Hall, (who has
since been jailed) officially proclaimed that all Communist Party members must
"yield second place to none in the fight to rid our country of the fascist poison
of McCarthyism." ( Daily Worhcr, ."May 4, 19.'(). )
The Communist Party has officially proclaimed and published in the Daily
Worker that one of its major tasks is to discredit and smear McCarthy out of
public office.
The Communist Party of Washington and Maryland put out a dire<-tive to all
members of the Communist Party under the heading, "Unity Can Defeat Mc-
Carthyism." This directive was signed by Philip Frankfeld (who has since been
jailed). It contains the following order to Communist Party members: "Re-
member the fact that the main enemy is McCarthyism and all of its workings and
direct your main fight against it."
All of the above objwtives of the Communist Party have been adopted by
William P>onti>n as his obj 'Ctives also. You must agree that the aims and objec-
tives of both the ("onununist Party and Benton are identical insofar as McCarthy
is concerned. The only question is whether it is knowingly or through stupidity
that Benton is trying to perform what the Communist Party has officially and
repeatedly proclaimed its No. 1 task.
Lenin once said, 'We can and must write in a language which sows among the
masses hate, revulsion, scorn, and the like toward those who disagree with us."
I am sure that you would never knowingly allow your committee to serve
the Connnunist cause. However, the damage done is the same regardless of
whether it is knowingly and deliberately done. There can be no question in your
mind or in anyone's mind that this ycar-lonu' investigation by your Subcommittee
would never have been commenced if I had not been exiHtsing Communists in
government. Already ten of those whom I have exposed have either been con-
victed or removed under the Loyalty Program. This is only a small indication
of how badly tlie Communist Party is being hurt. The Communists will have
82
scored a great victory if tliey can convince every other Senator or Congressman
that if he attouiprs to expose uiuler-cuver Communists, he will be subjected to
the same type of intense smear, oven to the extent of using a Senate Committee
for the purpose. They will have frightened away from this fight a vast number
of legislators who fear the political effect of being inundated by the Communist
Party line sewage.
If you have evidence of wrong doing on McCarthy's part, which would
justify removal from the Senate or a vote of censure by the Senate, certainly
you have the obligation to produce it. However, as you well know, every
member of your committee and staff privately admits that no such evidence is in
existence. It is an evil and dishonest thing for the Subcommittee to allow
itself to be used for an evil purpose. Certainly the fact that the Democrat
Party may temporarily benefit thereby is insuflacient justification. Remember
the Communist Party will benefit infinitely more.
Sincerely yours,
Joe McCarthy.
Joe McCarthy.
Exhibit No. 19
[Copy]
May 8, 1952
Senator Guy M. Gillette,
Chairman, Subcommittee on Privileges and Elections,
United States Senate, Washington, D. C.
Dear Senator Gillette : I understand that your Subcommittee has decided
to commence holding open hearings Monday on Benton's resolution to expel
McCarthy from the Senate because of his fight to expose Communists in the
Democrat Administration. I further understand that you have taken no action
whatsoever on the resolution to investigate Benton.
Before I urged the Senate to vote to continue the life of your Subcommittee, we
received your unqualified promise to proceed to investigate the Benton case just
as expeditiously as the attempted expulsion of McCarthy. I now understand
that you have not even so much as suggested that the resolution asking for an
investigation of Benton's activities be referred to your Subcommittee ; that noth-
ing whatsoever has been done in the Benton case although weeks have passed
since that resolution was introduced and you made that promise on the Senate
floor. I understand you excuse your actions to the press by stating that the
Rules Committee had not referred the Benton case to you.
You and Benton are members of the Rules Committee and as you well know,
the Democrats have the majority of thp. votes on that Committee and can stall
the Benton case indefinitely without referring it to your Subcommittee. I am
sure you will agree that this is a most dishonest evasion of a promise made to
and relied upon by the Senate.
In view of the amount of time and money spent investigating McCarthy, this
stalling in the Benton case cannot help but more firmly convince the American
people that your Subcommittee is being dishonestly used as an arm of the Demo-
crat National Committee.
Sincerely yours,
Sgd/ Joe McCarthy
Joe McCarthy
McC : dt
Exhibit No. 20
[Copy]
May 10, 1952
Honorable Joseiph R. McCarthy,
United States Senate, Washington, D. 0.
My Dear Senator McCarthy: I acknowledge receipt of your letter of May
8th which was written in response to a letter addressed to you by me as Chair-
man of the Subcommittee on Privileges and Elections under date of May 7th.
Your reply of the 8th states factual matter in connection with the charges made
by Senator Benton in his resolution and which have been listed as "charge
No. 2."
83
You will note from my lettor of tlio 7th that I statod in the concliHlinj; para-
graph "I shall extend to you the opportunity to appear at the hearin;rs for the
purpose of presenting testimony relating to this charge. The hearings in this
case will probably continue for several days and we shall make whateN er arrange-
ments for your appearance are most convenient for you."
The Subcounnitlee, in determining its further action relative to the Benton
resolution, decided to take up the charges one by one and, if additional evidence
was desired in addition to the staff report that was before us, that tlie Sulicom-
mittee would undertake to develop further testimony where it seemed desirable
to do so. At their meeting on May 7th the Subcommittee concluded that they
wished to take some additional testimony with reference to charge No. 2 and
fixed next Monday, May 12th, as the date for the hearing, at which witnesses
under them could be heard.
It seemed the courteous thing to do to invite you to attend so you could have
full opportunity to present additional evidence or, at a later period, to pre.sent
any evidence you might wish to make available to us in refutation or explanation
of any evidence which you adduced at the heariu;. That was the purpose of my
letter to you and you were assured that the opportunity will cimtinue to be
yours to present siuh matter as you wish to present to us in connection with this
hearing and to attend, if you desire to do so.
I assume also that you would have no objection to having put in the Record
of the hearings your letter of tJie Sth. Unless I receive the request from you for
me not to do so when the hearings are oi)eiied next Moi.day, I shall put in the
Ilecoid my letter of the 7th addressed to you and your reply of the Sth addressed
to me.
With personal greetings, I am
Sincerely,
Guy M. Gd.i.kttk.
G.MG : cc
ExniitiT No. 21
May 11, 19.',2
Senator Guy Gillktte
Senator A. S. Monroney
Senator Thomas Hknnings
Genti.kmkn : I have learned with regret that your public hearings are to open
tomorrow without the presence of your star witness. You have my deepest
sympathy.
Some Doubting Thomases might question the importance of this witness,
except that after nearly a year of investigating, you and your start' decided
that the public hearings must open with his intelligently presented, clear-out
exjw.se of the dangers of Mc<"arthyism. The Nation owes you a debt of gratitude
for so carefully and lionestly developing this witness who could have advised
the Senate and the voters of Wisconsin to get rid of McCarthy. If only you
had set the hearings 10 days earlier before the judge committed your star
witness to an institution for the criminally insane, you would not have been
deprived of this important link in the chain of evidence against McCarthy.
Some shallow thinkers may say that you gentlemen are dishonest to have
planned to use your committee as a sounding board to headline the statements
of a witness after your staff had reported he was mentally unbalanced. I beg
you not to let this distract you from the honest, gentlemanly job you are doing.
Those critics fail to realize that everything is ethical and honest if it is done
to expose the awfulness of McCarthyism. After all, had not your staff repoited
that while this witness was mentally deranged, his mental condition would help
to make him an excellent witness for you.
Certainly, you cannot be blam<'d for not knowing that some unthinking judge
would do the country the great disservice of committing him to a home for
the insane before the committee had a chance to publicize and place its stamp
of approval on his st;itements about McCarthy. Certainly, you cannot be blamed
for being unable to distinguish between his testimony and the testimony of the
other witness, Benton, who asked for and was given the right to appear before
your committee and publicly "expose" McCarthy.
The Communist Party, which is also doing an excellent job of exposing the
evils of McCarthyism, has repeatedly prrKlaimed that no stone be left mUurned
In the effort to remove McCarthy from public life. As Lenin said, "resort to
84
lies, tvir-kery, deceit, and dishonesty of nny type necessary," in order to destroy
those who stand in the way of the Communist movement.
I ask you peutlemen not to be disturbed by those wlio point out that your com-
mittee is trying to do what the Communist Party has officially proclaimed as
its No. 1 task. You just keep rijrlit on in the same honest, painstaking way of
developing the truth. The thinking people of this nation will not be deceived
by those who claim that what you are doing is dishonest. After all, you must
serve the interests of the Democrat Party — there is always the chance that the
country may be able to survive. What better way could you find to spend the tax-
payers money? After all, isn't McCarthy doing the terribly unpatriotic and un-
ethical thing of proving the extent to which the Democrat Administration is
Communist ridden? Unless he can be discredited, the Democrat Party may be
removed from power.
Again may I offer my condolences upon your failure to have your star wit-
ness present as plainied to open the testiinony. Do you not think the judge who
committed him should be investigated?
Sincerely yours,
Joe McCarthy
Joe McCarthy
Exhibit No. 22
May 13, 1952
Senator Joe McCarthy,
Senate Office Bnilding, Washington, D. C.
My Dear Sen.vtok : Under recent date you addressed a letter to uie referring
to the fact that I had stated on the flo<ir of the Senate that if your resolution
directed at Senator Benton was referred to our Subcommittee, we would act as
expeditiously as we had acted on the Benton Resolution directed against you.
As you know, the Rules Committee to which this resolution was referred has not
referred the resolution to the Subcommittee on Privileges and Elections. It
should perhaps be indicated that you, as author of the resolution, could well ask
Senator Hayden when action would be taken by the Rules Committee, either to
act on the resolution as a committee or to refer it to a subgroup. If it should be
referred to our Subcommittee, I assure you it will be handled as expeditiously
as possible with the volume of work we have to do.
Sincerely,
Guy M. Gillette
GMG : oc
Exhibit No. 23
United States Senate,
CoiikiTTEE ON Rules and Ad.aiinistkation,
May 28, 1952
Honorable Guy M. Gillette,
Chairman, Subcommittee on Privileges and Elections
of the Committee on Rules and Administration,
Room 106, Senate Office Building, Washington, D. C.
Dear Senator Ghxette :
This is to advise you that the enclosed resolution (S. Res. 304) to investigate
certain matters concerning Senator William Benton, of Connecticut, was today
referred to your Subcommittee for such consideration as it deems appropriate.
Very sincerely yours,
Carl Hayden
Carl Hayden
Chairman
85
S. Res 304. 82d Congress. 2d Session
IN THE SENATE OF THE UNITED STATES
Apbil 10, 1052
Mr. McCabthy submitted the following resolution ; whioh was referred to the
Committee on Rules and Administration
RESOLUTION
Whereas the Subcommittee on Privileges and Elections of the Committee on
Rales and Administration has established the precedent that it has the right and
the duty to investigate charges made by any Senator against another Senator ; and
Whereas Senator Benton, of Connecticut, has conducted a continuous attack
upon Senator McCarthy because of Senator McCarthy's exposure of Communists
and fellow travelers in the State Department; and
Whereas Senator Benton was for some time Assistant Secretary of State in
charge of International Information and Cultural Program ; and
Whereas a number of the individuals named by 'Senator McCarthy as either
Communists, fellow travelers, or dupes of the Kremlin were hired or retained
in ollice by Senator Benton ; and
Whereas, during Benton's aforesaid job as Assistant Secretary of State in
Charge of International Information and Cultural Program, the removal of
his assistant, William T. Stone, former coeditor of Amerasia, was recommended
by State Department security officers in the following language: "In behalf of
the above-mentioned, it is recommended that action be instituted to terminate
his services with the State Department immediately. It is suggested, to achieve
this purpose, that an appropriate officer of the Department should inform Mr.
Stone that his continued employment in the Department is embarrassing to the
Department and he should be given an opportunity to resign. If he should not
resign voluntarily, action should be immediately instituted under Civil Service
Rule No. 3 to terminate his service with the Department." But William Benton,
his immediate supervisor, refused to discharge William T. Stone; and
Whereas William Benton has appeared before loyalty boards to defend those
accused of Communist activities or against whom letters of charges have been
filed ; and
W^hereas William Benton, while Assistant Secretary of State in Charge of
International Information and Cultural Program, was responsible for the pur-
cha.se of lewd and licentious literature which also followed the Communist Party
line, such as the '"Memoirs of Hecate County" for distribution throughout the
world as part of our educational program, all with the apparent purpose and
obvious result of discrediting America in the eyes of the world; and
Whereas Benton, while Assistant Secretary of State in Charge of International
Information and Cultural Program, was also responsible for the purchase and
display in various areas of the world of lewd art works and Communist-produced
art works at great expense to the taxpayer, all with the apparent purpose and
obvious result of discrediting America in the eyes of the world ; and
Whereas a book by Frank Hughes, entitled "Prejudice and The Press" sets
forth that Hiss stated he acted upon the recommendation of Benton in the
selection of certain personnel ; and
Whereas it appears that Benton, as Assistant Secretary of State in Charge of
International Information and Cultural Program, sent proofs of Amerlka maga-
zine to Moscow for approval and editing before he ordered the same printed and
distributed at great cost to the taxpayers ; and
Whereas it appears that Haldore Hanson, who has been named under oath
as a member of the Communist Party, was retained and defended by William
Benton ; and
Whereas, William Benton, as Assistant Secretary of State in Charge of Inter-
national Information and Cultural Program, defended and retained In his employ,
handling secret material, certain individuals who were publicly exposed by Con-
gressman Fred Busbey as sympathetic to the Communist cause and doing the
work of the Communist Party ; and
86
Whereas Benton employed individuals such as Robert T. Miller, who was
publicly described by Congressman Fred Busbey as "one of the most dangerous
Soviet agents ever to infiltrate the Department of State", and who was named
under oath by a Government witness as a Soviet agent ; and
Whereas, on July 24, 1946, the Civil Service Commission recommended to Benton
that Miller be discharged on the grounds of disloyalty, which recommendation
was ignored by Benton, who retained Miller as chief in charge of publications
in Benton's division : Now, therefore, be it
Resolved, That the Committee on Rules and Administration of the Senate is
authorized and directed to make a complete investigation of all the facts and
circumstances surrounding the aforementioned matters and a complete in-
vestigation of —
(1) campaign funds which were collected by Walter CoKgriff for Benton's 1950
senatorial campaign and accepted by Benton and unreported by him in violation
of the laws of the State of Connecticut and the Federal laws, as well as all other
moneys collected by or expended by Benton or any individual or campaign
committee acting for or in his.behalf ;
(2) the use by Benton of fake television portrayals of Benton during his
1950 campaign ;
(3) the extent to which State Department funds have been paid to Benton's
company, Brittanica Films and Encyclopedia Brittanica :
(4) the facts surrounding Benton's printing of Encyclopedia Brittanica by
cheap labor in England in order to avoid paying the printers' union scale charged
in America ;
(5) Benton's income tax returns for the years 1947, 1948, 1949, and 1950; and
(6) such further investigations with respect to the activities and associations
of William Benton as the committee deems necessary in order to recommend
to the Senate appropriate action in the case of William Benton.
Exhibit No. 24
[Copy]
JXTRE 9, 1952
Honorable Joseph R. McCabtht,
United States Senate, Washington, D. C.
Mt Dear Senator: Recalling that .vou advised me that you would be unable
to arrange to present a statement before the Subcommittee on Privileges and
Elections last week, and that you would be absent for the first three days in
the present week, I have fixed this Thursday, 10 : 00 a. m., for you to present a
statement to us relative to your Resolution concerning Senator Benton.
Under the rules that we follow in the case of the Benton Resolution, Senator
Benton will be privileged to be present but not to cross-examine. The hearings
will be held in Room 104B.
Sincerely,
Gut M. Gillette
GMG : re
Exhibit No. 25
United States Senate,
Committee on Appropriations,
June 11, 1952.
Senator Guy Giu.ettk,
Chairman, Subcommittee on Elections and Privileges,
United States Senate, Washington, D. C.
Dear Senator Gillette: This is to acknowledge receipt of your letter of
June 9.
I will be unable to be with you Thursday for the reason that I am leaving
tomorrow to attend the State Republican Convention In Milwaukee, Wisconsin.
I shall also be tied up Monday and Tuesday of next week, but will be available
on Wednesday, Thursday, or Friday.
87
Incidentally, I note in your statement to the press you said you expected me
to give all of the evidence on Benton. I assume this was a mis^iuotation, in that
you have previously assured me and the Senate that you would proceed in the
Benton case in the same manner you proceeded in tlie McCarthy case, which
means that you will have your investigators dig ui) the evidence on Benton after
I give you the necessary leads and fields to be investigated.
In view of the fact that the end of the session is approaching, I would suggest
that yi>u immediately have your investigators obtain Benton's federal income
tax returns for the years 1047, 1948, 11)49, and 1950. You should have no hesi-
tancy or dilliculty about doing this, in that as you will recall your investigators
obtained my income tax returns and made all the information contained therein
available to the press.
May I hear from you as to which of the above three dates are most agree-
able to you?
Sincerely yours,
Joe McCarthy
Joe McCarthy
Mc<; : d
Exhibit No. 2t>
Umtkd Statf.s Sknate,
Committee on Appkopkiations,
June 12, 1{)52.
Senator Guy M. Giusttk,
Chairm<in, Subcommittee on Priv-ilefies and Elections,
United States Senate, Washinffion, D. C.
Dear Senator Gillette: This will confirm our conversation on the Senate
lioor that I will be available either Thursday or Friday of next week to appear
before your Committee. As I told you on the floor, it may be extremely difficult
lor nie to appear on AVednesday. I understatid from our conversation tliat IV-nton
wants to be present but will be unable to appear Thursday or Friday.
Under the circumstances, it will be perfectly agreeable to me to appear Satur-
day, if necessary. There is also the remote possibility that I may be able to
meet with your Committee Wednesday, although I doubt it very much at this
time.
As I mentioned to you on the Senate floor, my resolution, among other things,
deals witli B.enton's tax dilliculties for the years 1047 to lOHf), inclusive. In view
of tlie fact that the end of the session is approaching, I can see no reason why
your staff shouldn't imme<liately obtain Benton's income tax returns for those
years as they obtained my returns.
You did assure me that you would handle the Benton case the same as mine.
I think this is a good time to start.
Very sincerely yours,
Joe McCarthy
Joe McCarthy
McC : r
ExHiHlT No. 27
June 18, 19r)2
Hon. .losKPii K. McCakthy,
United States Senate, Washington, D. C.
Dear Senator McCarthy: With reference to your letter dated June 12, please
be advised that in view of the difliculty of arranging a date for your appearance
this week before the Subcommittee, a date satisfactory to both yourself and to
Senator Benton, I have ordered a meeting of the Subcommittee to be held on
Mondiiy, June 23rd, in tlie Caucus Boom at 10 a. m.
The Subcommittee will at that time receive a substantiation from you of the
charges contained in S. Res. 304.
Sincerely yours,
Guy M. Gillette, Chaimian
.IBM: inkv
Exhibit No. 28
United States Senate,
Oo^rMITTEE ON APPROPRIATIONS,
June 19, 1952
Senator Guy Gillette,
Chairman, Subcommittee on Elections and Privileges,
United States Senate. Washincjton, D. G.
Dear Senator Gillette : I have just rei^eived your letter of June 18 and uote
that you are unable to set the Benton hearing for either Thursday, Friday, or
Saturday of this week, the dates which I had previously told you I had open.
I further note that you have set it for Monday, June 23.
Enclosed is a copy of a Court order which has been served upon me, ordering^
me to appear in Syracuse, New York, in the case of McCarthy vs. Syracuse Post-
Standard, on Monday, June 23. It is impossible at this time to know how long-
the deposition in Syracuse will last.
I understand that the Benton resolution has been referred to your subcom-
mittee for investigation. Will you please inform me whether such investigation
has been commenced.
I am also enclosing for your information an editorial and reiwrt which appeared
in a Hartford paper and which would indicate that Benton is spending huge
amounts of money in the production and distribution of films to be used in his
campaign. You will note Benton's claim that this is non-i)olitical — apparently
for the purpose of avoiding the limitation of expenditures in a Senatorial
campaign.
May I hear from you as to whether you intend to investigate this matter also.
Sincerely yours,
Joe McCarthy
JoE McCaethy
McC : d
[Copy]
At a Special Term of the Supreme Court held
in and for the County of Onondaga, County
Court House in the City of Syracuse, New
York, on the 5th day of May, 1952
Present : Hon. Jesse E. Kingslet, Justice
State of New York
StJPBEME CotTRT County of Onondaga
Joseph R. McCarthy, Plaintiff
vs.
Thk Post-Standabo Company, Samuel I. Newhouse and Robert L. Voouhees,
Defendants
The plaintiff herein, Joseph R. McCarthy, having appeared on the 29th day of
March, 1952, before William B. Mangin, Esq.. as Commissioner of Deeds for exam-
ination before trial pursuant to an order made herein by Hon. Jesse E. Kingsley,
dated March 11, 1952 ; and the defendants appearing on said examination by Bond,
Schoeneck & King, (Tracy H. Ferguson. Esq., of counsel) their attorneys, and the
plaintiff appearing by RoUand B. Marvin, of counsel, and said plaintiff having
been first duly sworn by said William B. Mangin, as Commissioner of Deeds, and
objections to certain questions propounded by defeuants' counsel upon said
examination having been made by counsel for said plaintiff, and the plaintiff
having refused to make answers to certain questions so propounded as appears
from the minutes of such examination, and from the affidavit of Tracy H. Fergu-
son, submitted upon the motion herein; and the defendants having thereupon
moved this Court that the said plaintiff. Joseph R. McCarthy be directed to make
answer to such questions ; and that the further examination of said plaintiff before
trial be conducted before this Court sitting as the Supreme Court, and said motion
having come on for argument before the undersigned at a Special Term of this
Court on May 5th, 1952,
Now upon reading and filing said NOTICE OF MOTION dated April 23, 1952,
together with the affidavit of Tracy H. Ferguson, sworn to the 23d day of April,
89
1*J52 and annexed thereto ; the summons and complaint of the plaintiff in said
action ; the answer of the defendants thereto ; the notice of motion dated Febru-
ary 11, VJ'>'2 for examination before trial, together with the attached affidavit of
Richard II. Amberg, sworn to February 11, lt)52 and the exhibits attached thereto ;
the order of the Court dated March 11, 1952 for an examination before the trial
of the plaintiff and for the production of certain documents ; the oath of William
li. Mangiu, as Commissioner of Deeds, sworn to March 29, 1952 ; the transcript
of the cxiimiuation before trial of the plaintiff held pursuant to the aforesaid
order before William B. Mangin on iSaturday, March 29, 1952; the exhibits
marked for identitication at the iiulicaied points in the aforesaid transcript,
and upon all the papers and proceedings as referred to in the said affidavit of
Tracy 11. Ferguson aforesaid, and after hearing Bond, Schoeneck & King i Tracy
11. Ferguson, of counsel) for the defendants in support of said motion and Mar-
vin, Hand & Bush, (P. Sidney Hand, of counsel) for the plaintiff in opposition
to said motion and after considering the memoranda of the counsel for the re-
spective parties and due deliberation having been had and the Court having
made its written memorandum of decision, it is
UKDiiKEu that the motion of the defendant insofar as it seeks to compel plain-
tiff to answer the questions contained in the moving papers be and the same
hereby is denied without costs ;
And counsel for the respective parties hereto having consented upon the argu-
ment of this motion that the further examination of the plaintiff be held before a
Justice of this Court sitting as a Court, it is further
Oruekfi) that such further examination of the plaintiff be held before Hon.
Jesse E. Kingsley, Justice of this Court sitting as a Court, and it is further
Ordered that such further examination of said plaintiff' before trial shall pro-
ceed before Hon. Jesse E. Kingsley sitting as a Court at Court House in the
City of Syracuse, Onondaga County, New York, on the 23rd day of June, 1952,
at 10 A.M.
Jesse E. Kingsley,
Justice of Supreme Court.
[Hartford Courant, June 18, 1952]
Mb. Benton's New Kind of Non-Political Campaigning
Connecticut's junior Senator, Mr. Benton, has again demonstrated effectively
that kind of cleverness that brought him so much success so quickly in the
advertising business. He has done so by the introduction of a completely new
gimmick in the held of campaigning, to wit, a major campaign device that is
"non-political." The value of such a non-political campaign device is that it
presumably is not considered by Mr. Benton as coming within the purview of
the election laws.
These non-political campaign devices are taking the form of color movies,
travel pictures in which the Senator will play the role of commentator. The
first series of six will be distributed professionally and will show scenes in
Italy. Another production under way, "A Day in the Life of a Senator," will
be shown in full and excerpts will also be shown on television. Presumably
these productions will supplement the "Great American" .series on television in
which Senator Benton, also acting as commentator, touches lightly on the intel-
lectual and spiritual affinity between himself, Benjamin Franklin, John Quincy
Adams and other great Americans.
The question that immediately arises Is the fact that as each candidate for
office is limited by law in campaign expenditures, can Mr. Benton be considered
as evading this law by this device of labeling his motion picture productions aa
"non-political?" Certainly no one but a very wealthy man could indulge himself
in full length color motion pictures. And no one but a complete idiot can con-
sider the motivations behind such productions as non-political. Indeed, Senator
Benton himself lets the cat out of the bag when he says he regards these as
comparable to the "institutional" advertising used by some business concerns.
The fact is, it is advertising, designed to win friends and woo voters. Once
before Mr. Benton interpreted the election laws loosely when he failed to report
a gift of several hundred dollars given to him by a former member of the Recon-
struction Finance Corporation. When the matter was suddenly revealed at a
hearing Mr. Benton said he didn't consider the expenditure political because he
had used the money to have reprints of a speech printed and distributed!
90
Shortly after that Mr. Benton sought, without success, to have the election laws
revamped In order to avoid the hypocrisy that inevitably sprouts from the
present law.
It would be a good thing if this matter were clarified quickly. If Mr. Benton's
intepretation is correct, then any multi-millionaire who is willing to pay the
price can flood the state with all kinds of "non-political" literature, motion pic-
tures and other selling devices. Of course, Mr. Benton knows that any gimmick
that gets the candidate's name, voice and face before the public during a cam-
paign is good campaigning. That is why his "new" tj'pe of campaign is nothing
more than an evnsion of the law limiting the expenditures of candidates to
oflice. It is a clever thing to do, perhaps too clever, but Mr. Benton should ask
himself now if it is a wise thing to do, all thing considered.
Washington Report
By Robert D. Byrnes
The Hartford Courant Washington Bureau
Benton Believes Film He Will Make
Opens Way For Neio Type Campaign
WASHINGTON, June 16. — Sen. William Benton, renominated Saturday by the
Democratic State convention in Hartford, will go to work this week on one of his
major campaign devices, a motion picture titled "A Day In the Life of a Senator."
The motion picture in addition to being used as a presentation in itself will also be
the source, he said, of one-minute and 20-secoud "spots" which he will use on
television during his campaign.
Benton believes the motion picture, especially when used with television, opens
the way for a new kind of political campaign, which has the added advantage
of being inexpensive compared with other types. Benton has already placed
in circulation in Connecticut six films, four of which are in full color, on the
visits he and Mrs. Benton have made to Italy within the past two years. Four
of them are primarily scenic, on Rome, Naples, Venice and Italy as a whole.
The fifth is titled the "New Italy" and in that one Benton is the narrator. It
includes material on Benton greeting sailors from Connecticut at Naples, and a
press conference he held in Rome. The sixth film is on Italy's children.
Italy Films Not Political
The six films of Italy are not political, except they call attention to Benton.
Benton said they could be compared with the so-called institutional advertising
of many firms which advertise to make their name familiar to the public.
Benton has hired a professional film distributor in Connecticut to handle the
distribution of the films. Most of the films are put together from standard
shots secured from Encyclopedia Britannica films, a business enterprise which
Benton heads. The pictures of the Bentons in Italy have been compiled from
newsreel and other film which Benton secured from various sources. A special
script was written for the films and placed on a sound track.
Purtell To Be Ahsent at Dinner
William A. Purtell, Republican nominee for the Senate seat now held by
Benton, will not be able to attend a dinner meeting here Tuesday of Republican
Senate candidates. The dinner is being given by the Republican Senatorial
Campaign Committee. Purtell had previously accepted the invitation, but it was
announced by the committee Monday word had been received from him that he
would not be able to attend.
Miss Lonergan in Political Debut
Lucy Waters Lonergan, daughter of the late Senator and Mrs. Augustine
Lonergan, of Connecticut, makes her debut as a political candidate here Tues-
day in the District of Columbia Democratic primary. She is a candidate for
delegate to the Democratic national convention, running on the slate entered by
the district Democrats for W. Avorell Harriman as the Democratic presidential
nominee. She also has the endorsement of Americans for Democratic Action,
Democratic Central Committee, National Capital Democratic Club, Washington
Central Labor Union, AFL, and Young Democratic Committee for a greater
district primary.
91
Morano Rctunis After Illness
Uo\). Albert P. Morano, Republican, Fourth District, returned to Washington
Monday after a week in Connecticut, part of it in Greenwich Hospital, under-
going treatment for a strained back. .Morano said he had been warned by ids
doctors to "take it easy" for a time.
Kent PostnKuster Examination
The Civil Service Commission has announced July 8 as the closing date for
applications for the postmastership at Kent. The job pays $1,770 a year. The
examination will be held at Kent.
Exhibit No. 29
[Copy]
June 20, 19.'32
Senator Joe McCarthy,
Senate Office Building, Washington, D. C.
My Deab Senator : I acknowledge receipt by messenger of your letter of June
19th in which you advise that you had been served with a summons to make
certain depositions at Syracuse, New York, in the case of McCarthy vs. Syracuse
Post-Standard, and that this will preclude your being able to attend the meeting
I have called for the 23rd. Of course, it will be impossible for you to be iu
attendance here. I also learn from your letter that you do not know how long
you will have to be in Syracuse. We will consult your couvenience as to the
fixing of another date for hearing you on your resolution which pertains to
Senator Benton.
I also acknowledge receipt on behalf of the Subcommittee of the enclosures
with your letter in the form of an odilorial and report which appeared in a
Hartford paper, and dealing with certain expenditures ascribed to Senator Benton
in the production and distribution of films.
I have called a business meeting of the Subcommittee for 10 o'clock A. M.
tomorrow, June 21st, and your letter with its enclosures will be presented to
the Subcommittee at that time.
Sincerely,
Gut M. Gillette
GMG : ec
Exhibit No. 30
United States Senate.
Washington, D. 0., June 2S, 195B
Senator Guy Gillette,
United States Senate, Washington, D. C.
Dear Senator: I returned to Washington again this Monday morning so I
could be on hand for Senator McCarthy's projected appearance before your Com-
mittee. You will recall my 'phone conversation with you a couple of weeks
back when I told you how I had changed my plans especially to return to Wash-
ington on Wednesday, June 11, so that I might be here for his appearance which
had been scheduled for that day. He first wrote you he could appear, then told
you that he could not after I had changed my plans to be here Wednesday. You
then suggested Thursday, the 12th. He then wrote you he could not appear on
the 12th "for the reason that I am leaving tomorrow to attend the State Re-
publican Convention in Milwaukee, Wisconsin". Yet you and I both saw him
on the floor on the 12th, when he said he was to be in Milwaukee.
You have told me that Senator McCarthy has pressed you again and again
for a date. You've been most courteous to me in checking with me on suggested
dates because I have told you that I want to accept the invitation of your Com-
mittee to be present when he appears.
Today is the second time we've definitely agreed on a date and Senator Mc-
Carthy has failed to appear. Several other dates also have been offered him,
such as last Wednesday, June ISth.
I want these facts to be clearly In the record. The.se dates and facts are
important to me because I have been holding hack on my own procedures, under
Sen;;tor McCarthy's suit against me, pending the actions and developments before
your Tomraittee.
92
I would be pleased if, when opportunity offers, you thought it suitable to give
this background to the press. I am often asked about the matter.
Very sincerely yours,
mkg
Bill Benton
William Benton, V. S. Senate.
Exhibit No, 31
June 23, 1952
Senator Joe McCakthy,
Senate Office Building, Washington, D. C.
My Dear Senator : This is with further reference to my communication to you
dated June 20th relating to the arranging of a date for your appearance before
the Subcommittee in connection with your Senate Resolution 304.
At the business meeting of the Subcommittee held on Saturday, June 21st, to
which I referred in my letter to you dated June 20th, I submitted your letter of
June 19th. The Subcommittee has reaffirmed the position initially taken by it
that the same procedure be followed in the case of S. Res. 304 as was pursued in
its consideration of S. Res. 187. Accordingly, we shall await the presentation by
you of a statement in support of your allegations before authorizing the com-
mencement of an investigation by the staff.
With respect to the statement contained in your letter of June 19th concerning
expenditures allegedly being made by Senator Benton in Connecticut, the Subcom-
mittee desires to Icuow whether this statement is to be construed as an amendment
to your resolution or whetlier it is a complaint concerning Senator Benton's cam-
paign practices affecting tlie seating of Senator Benton in the event of his
re-election in November.
I will expect to hear from you upon your return from Syracuse.
Sincerely,
Guy M. Giu-ette, Chairman
JPM : mky
Exhibit No. 32
[Copy]
June 24, 1952
Hon. Guy M. Gillette,
United States Senate, Washington, D. C.
Dear Senator Gillette: Senator McCarthy telephoned the office early this
morning from Syracuse and asked that the following message be relayed to you
in regard to his olfer to appear before your committee and testify on Senate
Resolution 304.
As you know, Senator McCarthy presented the necessary leads on the Benton
case in his resolution. He has advised you, however, tiiat if you wanted further
information on this case, he would be glad to come before the committee and
present this information. He has made this offer periodically, but each time
the date has been cancelled or postponed because Senator Benton was unable
to attend.
The Senator feels that if your committee is sincere in its request that he
appear, the time has come to set a date and inform Senator Benton that the
hearing will take place at that time, whether he is able to be present or not.
With this in mind, the Senator suggests a date be set far enough in advance
so that all concerned will have ample time to arrange their schedules and so that
no excuse can be made to postpone this hearing any longer. Senator McCarthy
wiU be available for this purpose on July 3rd.
Sincerely yours,
Maby B. Dbiscoll,
Secretary to Senator McCarthy
MBD : mc
93
Exhibit No. 33
[Copy]
6-25-52 4 : 30 p. m.
GOVERNMENT OFFICIAL TELEGRAM :
Honorable Joseph R. McCarthy,
United States Senate, Washington D. C.
Re your letter June 24th, signed by your secretary, Mary Driscoll, I have acted
on your suggestion and fixed July 3rd, 10: (X) a. in. as the time to hear your testi-
mony on your resolution #304. The place will be Senate Caucas Room and you
will receive card confirming this in due time.
GMG :rc
(Signed) Guy M. Gillette
Exhibit No. 34
United States Senate,
Committee on Expenditures in the Executive Departments,
July 1, 1952
Senator Guy Gillette,
Chairman, Subeommittee on Elections and Privileges,
United States Senate, Washington, D. C.
Dear Senator Gillette : This is to acknowledge receipt of your wire to the
effect that you desire that I appear before your subcommittee on Elections and
Privileges on July 3, at 10 A. M.
I understand you want additional material to implement that contained in
the resolution presented on Benton. I shall appear in accordance with your
request. However, I want it definitely understood that I have never requested,
nor do I now request, the opportunity of appearing before your committee on the
Benton matter. I feel that your committee was given ample leads in my resolu-
tion if you cared to conduct the same kind of investigation of Benton that you
conducted of McCarthy.
I am far too busy with more important matters to waste much time on Benton.
However, in view of your request, I shall appear and try to give you such mate-
rial on Benton as is available to me without making a detailed investigation of
his case. If an investigation is to be made, it will have to be made by your staff
as they did in my case.
Sincerely yours,
Joe McCarthy
Joe McCarthy
McC : d
Exhibit No. 35
[Copy]
A003 LONG DL PD— CLEVELAND OHIO 8 456A
1952 Sep 8 AM 7 32
Senator Gillette :
This is to notify you that for personal re.isons I must now submit to your
committee my resignation as an investi;:ator effective Sept 6 1952. As I have
previously stated, I do not agree with past restrictions which have been placed
on the investigation of Senator Benton. I do not agree with the committees
failure to use its investigatory p<twer in pursuing the Benton case the com-
mittee's lack of equality in dealinji with the two cases before it is illustrated by
the fact that subix>enas requested in connection with the Benton case have
been refused — as is set forth in a committee letter of August 7, lft")2 on the other
hand unconfirmed and alleged information has been supplied to certain cor-
respondents for apparent political purpose of smearing Senator McCarthy.
Jack Poorbauqh
94
Exhibit No. 36
LA* orriCES
WEUKCR & CAft.EL
YETTC.IOAMO
W CAItf jy.rtt:.; Chsinnffn
^altonal ^cpubltcan Scnalortal (^oiutnillct'
A SEN
Jcpteirfc<-r 7, 1552
SEKATOft :ARL H/'.iDS.l;, ".hairoan
ur .ion£it<;r :.-i-ji.bT,
tr;tl Sleclions,
■'ill tho vac-i-ncv
, 1-. .;■ nator, il&ho
95
Exhibit No. 37
[Copy]
September 10, 1952
Senator Carl Hayden,
Chairman, Committee on Rules and Administration,
United States Senate, Washington, D. C.
My Dear Carl: Doubtless you are seriously disturbed, as I am, over the recent
action of Senator Welker and Investigator Poorbaugh. Both of these resigna-
tions were given to the press before I received them.
The situation that has developed with reference to the Subcommittee work,
seems to indicate a purpose on the part of some columnists and adherents of
both Senator Benton and Senator McCarthy to discredit the work of the Sub-
committee. Recently, the efforts have been directed to attacks on me personally.
While, of course, I can take my share of abuse, I do not want the fine work that
the Subcommittee has done, and is doing, to be impeded or jeopardized by me.
As you know, I tried to resign as Chairman earlier last spring, but you pointed
out the situation with reference to membership on the Rules Committee, which
made it difficult to fill my place with a new a.ssignment from the Democratic side
of the committee. I have definitely concluded that the best interests of the Sub-
committee, and its future work, would be for a new Chairman to be selected to
handle its work.
Realizing the difficulty, which you presented before, of finding a replacement,
for me in the membership of the Rules Committee, may I suggest that the mem-
bership of the Subcommittee be again limited to three members. You will recall,
that two members were added, at ray request, at the time the Subcommittee was
investigating the Maryland case, and Senators Monroney and Smith had re-
quested that in view of the fact that they were not lawyers that two attorneys be
assigned. It was for this reason that the membership was increased to five, and
a membership of five has distinct disadvantages. It is quite essential that the
Subcommittee work in harmony and its actions be taken with unanimous sup-
port so far as possible. This has necessitated trying to get the five man member-
ship together or in contact so that they can present their views. It has meant
postponement after postponement of action, as the membership of the Sub-
committee was scattered, or one member or other absent from Washington, and
Subcommittee ses.slons postponed awaiting the members return.
When the Subcommittee member.ship consisted of three members, we had little
difficulty in this regard, and I feel strongly that it should be restored to this
number.
If Senator Welker carries out his announced intention and sends his resigna-
tion to you, the opportunity is clear for a return to a three man membership.
My resignation would be clearly indicated and would leave Senators Hennings,
Monroney and Hendrick.son. As you know, there are no three members of the
Senate who are more capable, or more high minded, than these men. They have
always been scrupulously fair in their consideration of the difficult problems laid
before the Subcommittee. There is no doubt in my mind that it would be in
the be.st interest of the work of the Subcommittee to take the action I have
suggested.
I have called a meeting of the Subcommittee in Washington, the 26th of this
month. It would be of .special advantage if this action of reduction in member-
ship, and the acceptance of my resignation, could be consummated in time for
that meeting. I will, of course, be there to bow out and help in plans to carry
out the work, so far as I couid properly participate in the plans.
I am sending a copy of this letter to the other members of the Subcommittee,
and I surely hope that you will see the matter as I do. I realize, of course,
that I will be attacked severely for alleged "running out on responsibilities" but
the integrity of the election proce.sses, and the value of the Subcommittee's work,
are far more important than my own feelings in the matter.
With warm personal greetings, I am
Sincerely,
Gut M. Gillette
96
Exhibit No. 38
[Copy]
November 7, 1952
Hon. Joseph R. McCarthy,
United States Senate, Washington, D. €.
Dear Senator McCarthy: In connection with the consideration by the Sub-
committee on Privileges and Elections of Senate Resolution No. 187, introduced
by Senator Benton on August 6, 1951, as vpell as the ensuing investigation, I have
been instructed by the Subcommittee to invite you to appear before said Subcom-
mittee in executive session. Insofar as possible, we would like to respect your
wishes as to the date on which you will appear. However, the Subcommittee
plans to be available, for this purpose, during the week beginning November 17,
1952.
It will be appreciated if you will advise me at as early a date as possible of
the day you will appear, in order that the Subcommittee may arrange its plans
accordingly.
Very truly yours,
Paul J. Cottee, Chief Counsel
P JC : mlv
Exhibit No. 39
November 7, 1952
Hon. William Benton
United States Senate, Washington, D. C.
Dear Senator Benton : In connection with the consideration by the Sub-
committee on Privileges and Elections of Senate Resolution 304, introduced by
Senator McCarthy on April 10, 19.52, as well as the ensuing investigation, I have
been instructed by the Subcommittee to invite you to appear before said Sub-
committee in executive session. Insofar as possible, we would like to respect
your wishes as to the date on which you will appear. However, the Subcom-
mittee plans to be available, for this purpose, during the week beginning
November 17, 1952.
It will be appreciated if you will advise me, at as early a date as possible, of
the day you will appear, in order that the Subcommittee may arrange its plans
accordingly.
Very truly yours,
Paul J. Cotter, Chief Counsel
PJC: mlv
97
Exhibit No. 40
'llCniied ^U^(«« ,S>€tuxU
COWMITTT* OM *l I H M I HIATI W
Hoveaber 10, 1952
Vr, i-aij. ,,'. Cottar
Cblof Counsel
5ut«oix-itt<.>e on rrivilogea and ilectloM
tiV.I'^ed Stfttas oAnate
'. ashlartcn, 0. C.
T.otLT !-!r. Cotton
Ir^asBUcii as Senator McCarthy is not now
in o'ash in,: Ion, I ac taMn; the liberty of acknowl-
edglng receipt of your letter of NoveDber 7.
I have just talked to the Senator over
tt>e telephcne and he does not Vsow just when he will
return to ««st.ln>-ton. It presently appe/js t;.at he
will not be avalJatla tn f>j;;-<i»r htfnrn j" T corrilttee
a-jrir^t; tho tine yo-i npjrClon, However, hc^mid state
trjkt if y -u ifii; l^t bl". know juat wha*. in:"o^
you dssira, he wl^ be glad to try to l« jf
you.
P-Vdl
Ray KierruiA
AdliiiJ.;itrative ,.s3is
Senator I-.cCarthJ
Exhibit No. 40A
^'Cnilcd -Sia(«s ^e^xdU
Kr. Paul J. Cotter
Chief Coxoisel
Subcoorittee on PrivlleL'«» '^-'W* Electims
United States Jooatc
V.ashingtoii, D. C.
98
Exhibit No. 41
November 21, 19r)2
Hon. Joseph R. McCabthy,
Room 254, Senate Ofliee Building, Washington 2,7, D. C.
Dear Senator McCarthy: As you will recall, on September 25, 1951, May 7,
1952, and May 10, 1952, this Subconiraittee invited you to appear before it to give
testimony relating to the investigation pursuant to S. Res. 1S7.
Under date of November 7, 1952, the following communication was addressed
to you :
"Dear Senator McCarthy : In connection with the consideration by the Sub-
committee on Privileges and Elections of Senate Resolution No. 187, introduced
by Senator Benton on August 6, 1951, as well as the ensuing investigation, I have
been instructed by the Subcommittee to invite you to appear before said Subcom-
mittee in executive session. In.sofar as possible, we would like to respect your
wishes as to the date on which you will appear. However, the Subcommittee
plans to be available, for this purpose, during the week beginning November
17, 1952.
"It will be appreciated if you will advise me at as early a date as possible of
the day you will appear, in order that the Subcommittee may arrange its plans
accordingly.
"Very truly yours,
/s/ Paul J. Cotter
Paul J. Cotter
Chief Counsel"
On November 14, 1952, the Subcommittee received the following communication,
dated November 10, 1952 :
•'Dear Mr. Cotter :
"Inasmuch as Senator McCarthy is not now in Washington, I am taking the
liberty of acknowledging receipt of your letter of November 7.
"I have just talked to the Senator over the telephone and he does not know just
when he will return to Washington. It presently appears that he will not be
available to appear before your committee during the time you mention. How-
ever, he did state that if you will let him know just what information you desire,
he will be glad to try to be of help to you.
"Sincerely yours,
/s/ Ray Kiermas
Ray Kiermas,
Administrative Assistant to Senator McCarthy"
The Subcommittee is grateful for your offer of assistance, and we want to
afford you with every opportunity to offer your explanations with reference to
the issues involved. Therefore, although the Subcommittee did make itself
available during the past week in order to afford you an opportunity to be heard,
we shall be at your disposal commencing Saturday, November 22 through, but
not later than. Tuesday. November 25, 1952.
Thi.s Subcommittee has but one object, and that is to reach an impartial and
proper conclusion based upon the facts. Your appearance, in person, before the
Subcommittee will not only give you the opportunity to testify as to any issues
f.f i'-^r-t which may be in contf<)V(-!-sv hut win f. ' - .■ri^r<^er,t assistance r-i fhf
nittee in its effc* and to et
99
(3) Whether your activities on behalf of certain special interest proups, such
as housing, su^ar and China, were motivated by self-interest.
(4) Whether your activities with respect to your senatorial conipaigns, par-
ticularly with resfject to the reiK)rting of your tinancinu and your activities
relating to the tinamial transaitions with, and subsequetit employment of, Ray
Kiermas involved violations of the Federal and State Corrupt I'ractlces Acts.
(.")) Whether loan or other transactions which you had with the Appleton State
Hank, of Appleton, Wisconsin, involved violations of tax and banking laws.
(6) Whether you used close associates and members of your family to secrete
receipts, income, commodity and stock speculation, and other IJnancial transactions
for ulterior motives.
We again assure you of our desire to give you the opportunity to testify, in
executive session of the Subcommittee, as to the foregoing matters. The 82nd
Congress expires in the immediate future and the Subcommittee must necessarily
proceed with dispatch in making its report to this Congress. To that end, we
respectfully urge you to arrange to come before us on or before November 2.")th, and
thus enable us to do our con.scientious best in the interests of the Senate and our
obligation to complete our work. We would thank you to advise us immediately,
so that we may plan accordingly.
This letter is being transmitted at the direction and with the full ccmcurrence
of the membership of this Subcommittee.
Sincerely yours,
Thomas C. Hennings, Jr., Chairman
P.TC : mlv
Exhibit No. 42
Western Union
Charge to the account of Senate Subcommittee on Privileges and Elections.
(Note. — Western Union — Please send the following wire to these addresses:)
Senator Joseph R. McCarthy (Official),
Room 254, Senate Ofpee liuilding, Washincrton, D. C.
Senator Joseph H. McCarthy (Official),
Appleton, Wiavon-iiin.
Senator Joseph R. McCarthy (Official),
Hotel Desert Hills, Phoenix, Arizona.
Reference is made to our letter of November 7 again inviting you to appear
before this subcommittee and to the reply of your administrative assistant
received today. You are advised that this committee does not consider the
aforementioned letter of your assistant to be an adequate or satisfactory answer.
This committee desires an opportunity to examine you under oath to clarify if
possible certain questions that have been raised from facts at hand, particularly
with re.spect to your intricate financial tran.sactlons and certain of your activi-
ties. Your continued refusal to cooperate with the committee in its efforts
to carry out the instructions of the United States Senate would appear to prevent
a conscious disregard by you for the Senate's authority and a desire to prevent
a disclosure of the facts. Failure to receive a reply by return wire that you will
appear before this committee in executive ses.sion no later than November 20 can
nly be construed as a final refiL-sial in testify under oath before this comniittee.
100
Exhibit No. 43
[Copy]
November 21, 1952
Hon. William Benton,
S5i Senate Office Bldg., Washington, D. C.
Dear Senator Benton : Reference is made to the letter of November 7, 1952.
inviting you to appear before this Subcommittee in connection with its consid-
eration of Senate Resolution 304, introduced by Senator McCarthy on April 10.
1952, as well as the ensuing investigation.
We appreciate your communication that you would be available for examina-
tion at any time designated upon giving due notice and you are advised that the
Subcommittee will make itself available for hearing your testimony in executive
.session at any time commencing with Saturday, November 22, but not later than
Tuesday, November 25th.
The matters that will be taken into consideration are those referred to in
the McCarthy Resolution which may be deemed pertinent together with the facts
developed by subsequent investigation, particularly those relating to the circum-
stances surrounding the Cosgriff contribution.
Plea.se advise promptly of the date you will appear.
This action is being taken at the direction and with the full concurrence
of the Subconimittee members.
Sincerely yours,
Thomas C. Hexnings, Jr., Chainnuu
PJC : mky
101
Exhibit No. 44
'^Cnitci) ^lctle» ^eualt
.November 23, 175^
S«nator Tiionas C. "iennincs, Jr.
SubiaTcdttee on Privileges and Elections
Sencte Office Bulidlnij
VaRiiiiv^n, D. C.
Detr Senutor Hemnings:
I just received 7>ur i.lre t,l" Hovcraber i2 in
vhlch you state /ou wouiii xx^o to have ae ap;etr before
your ooQ-iittee octveen fiovaobcr 22 £nd 25.
Ac you woj-t informed bj ay office prior to the
time you sent thip vrlre, I ve.s net axpacted to return to
Vashinpton until T'lursdc.y, November 27, on -hich Auto I
■ild rolum.
JOE McCA-TTH? •, \
'TttrxHeb S>la.le» ^nutU
rncs
y u.s.s.\J
111-.!, „r,
. trlvilegea
anrdn«ton, 0. C.
102
Exhibit No. 45
^CniieZl ^ia(«s ^enaU
D«OMib*r 1, 1952
Sanntor Thoais C. Haonlngs, Jr.
Chalman, Subeoanlttae on
PriTllages ajid Elaetioaa
Sanat* Ofrica BulUinc
Daar Mr. Heonincai
Thia ia to aeknovladge raoalpt of roura of Nortabar
21 In which 70U atata that jrour objaet ia to raaeh as
"lopartial and propar eoneluaion baaad upon the facta*
In the Bantos applla«tioB whloh aaka for mj raaoval trcm
th« Seoata.
I waa Intaraatad In jour daclaratioo of booaaty of
tha Coaaittaa and would lUca to balian that it la trua. Aa
you know, your Coadttaa baa tha Boat unuaual record of any
eoBtlttaa in tha history of tha Sanata. Aa you know two Beabara
of your ataff have raalgnad and aada tha public atataaent that
thalr raason for reaignatlon waa that your Coatlttaa w«t dl»-
hcnaatly usad for political purpoaaa. Two Sanatora hara alao
raalgnad. Cna, Senator Walker In tha atrongeet poesible languag*
Indicted your Coaoilttae for eoa^leta dlahonasty in handling yotir
Inragtlgation. Senator ClUatta alao raalgnad without girlnf
any plaualble raaaon for hla realgnatlon froa the Coaidttea.
Obvloualy, he also couldn't stoaacfa tha diahonost uea of public
funda for political purpoaaa. For that r«aaon it is diffioult
for ma to ballaT* your protaatationa of tha honeaty of your Co»'
■Ittaa.
1 would, therefore, ordinarily not dignify your Coaalttae
by answering your letter of No»e»ber 21. Bowever, I decided to
fire you no txevam to clal» In your report that I refused to glTe yon
any facta. For that reaeoa you are being Inforaed that tha anawar to
the alx lna\ating quaationa In your latter of KoreBber 21 la "So".
103
Ton und*rit«jul tiiat in mmmring thaaa qxMstlons I do act la
tixf WKjr appro^ of nor adalt tb* fal«« tt«tf »nt« tai ionuaodo*!
■■da !■ tha quaatlooJ.
I no^a with (oaa Intaraat tout rvfaranoa to mj 'aotlTltlaa
on batuir of o«rt«lo apeciaj Intaraat grqupa, auch a« boualag, luftr
and China.' I aa«\r-a 70U rafar to 07 drkjTtlBc of tha oo^jrabanalv*
HoualDf let of 19^8 which waa paaaad without a Aogla dlaaantlog Tot«
in tha Saoata, alther Camocrat or RapnbUcaio. Nalthar 70U nor anjr
othar Saoator hut attanptad to rcpaal aojr part of that Boualng Act.
Or parhapa jm rafar to tha alua claaranoa bill which I draftad and
Introduced la 1916, Wilefa alua claaranca bill was adoptad la toto bj
tha Daaocrat-eontrolJad S«a ta In 1949.
Uhan 70U rafar to sucar I aasvna jroo rafar to ay afforta
to do away with your tart^'a ratloolog of sugar, aa I proalaad tha
houaawlTaa that I would duriag ■/ 19'Ct> canpalfD. If that w»re wn^'Og,
I wcndar why you hava not lotrodOo*d laglslation In tha Daaocret-
oontroUod Sonata to raat«r« augar ratlonlag. You hava had twc yaara
to do ao«
I thought perhapa tha alaotlon alght bava tau^t you that
your boaa and ■loa - tha Aaerieain paopla - do not approva of traaaon
asd lQcoa(>at«nc« and faal that It Buat b« axpoaad.
Tou rafar to tha abow c« "spacial Intaraate.' I paraonally
f»«l var^' proud of harlng draftad tha Houalng Act In 19iA which paaa«d
tha Congrasa without a aingla dlaaantlne Tota - a Housing Act wMeh
eontributad ao ouch towards aaklcg it possibla for ratarana and all
Aserlcana In tha alddla and low-incoaaa gruups to own their own hoaaa.
Likewl ■«, I ar, proua of haying haen able to fulfill »y proaiae tc
Aserlcan bouaawlTss tc- obtain tha derationing of sugar. I prorad at
the tlaa that ratl:ialr»; was not for the bai«fit of the housewlTas but
for the coawrelal uaars.
I llkawisa aa doubly proud of tha part I playad in alerting
tha iaarlcan peo-.le to your Adalnistration's traitorous betrayal of
Aaerlean interests throughout the world, eapaclally in China and
PoUnd.
lou refer to aueh actlTitlae on mj part aa "actiTitlas for
special ioteresta.* I an ourioua to know what 'special interests'
you near, other than the srecial interest of the Aaarlcaji people.
104
Thla letUr la not vritUn with maj hop* ot cattlHF
■a hoiMat raport fro* your Co^ilttaa. It la bala( wrlttan
■Brely to kaip tha raoord atralght.
JNstag
J^'^iiZcJZ^
JCi KeCARTHT
^'Cniieb ^late» JSyenale
COMMITTftC OM *f rnO » W IAT(OM«
FNEC
/a.
Senator Thoaaa C. Hannlncs, Jr.
Chalraan, Sobccomlttaa on FrlTllaiaa k ClacUona
Sanata Offlea Building
105
Exhibit No. 46
[■Copy]
OcTOBKK r>, llKil
The Honorable Gut M. GiLunTE,
Chairman, Subcommittee on I'rii'ileijes and Elections,
United Staiea Senate, Waishinfltan, D. C.
Dear Mr. Ch.xirman : I hereby tile with you as Chairman of the Senate Sub-
committee on Privileges and Elections this written reijuest conceriiinK the further
consideration by your committee of Senate ResohUion 187 which I submitted
to the United States Senate on August (3, 19r>l, calling for an investigation with
respect to the participation of Senator Joseph K. McCarthy in the VXA) .senatorial
campaign of Senator John JI. Butler, and with respect to his other acts since
his election to the Senate.
This resolution was submitted for the purpose of enabling your subcommittee
to determine whether or not it should initiate action with a view toward the
expulsion of Senator McCarthy from the United States Senate.
On September 128, l!)ol, I had the honor of presenting before your subcommittee
a 59-page statement, listing ten case stories to show that the activities of
Senator McCarthy merit scrutiny and investigation as reflecting uinm the honor
of the United States Senate, and upon Senator McCarthy's own fitness. At that
time I indicated that although I had limited my testimony to Senator McCarthy's
activities after his election as a Senator, there was nmch public evidence
available that would illustrate the pattern of his conduct to be a continuous
series of events beginning prior to his entrance into the Senate.
After careful reconsideration of the critical issues involved herein, it is my
opinion, that if your decision is to go forward with the consideration of this
resolution, the investigation should, in all fairness to both Senator McCarthy
and the United States Senate, be as comprehensive and exhaustive as possible.
There are many facets of Senator M^-Carthy's public and business activities
prior to his election as United States Senator which I believe are clearly relevant
to a true evaluation of his fitness to sit in the United States Senate.
Specifically, Senator McCarthy's activities as a judge in the Wisconsin state
court, particularly his involvement in the "Quaker Dairy Case", State versus
McCarthy, in 1941 : in the alleged violations by him of the Wisconsin state
Constitution in 1946; in the charges that his court specialized in "divorce-mill"
actions ; in the contradictory stock transactions and state income tax reports
in 1943. I wish to make it perfectly clear that these charges are not a result
of any personal investigation by me or my staff, but represent some of the most
publicized and well-known of the many charges that are matters of record,
levelled against Senator McCarthy which would seem to bear relevant reflection
upon his fitness and htmor and should he included in any consideration of the
resolution now before the Subconnnittee on Privileges and Elections.
Since time is of the essence, I am confident that, in view of the outstanding
reputation of you and the members of your committee for justice, integrity and
fair play, you will accept this request in the spirit in which it is submitted —
to assure that all material facts are considered in any investigation which you
de<*ide to initiate.
Therefore, I have the honor to request that the scope of the investigation
as resolved in Senate Resolution 187, be broadened to permit examination of
the activities of Senator Jo-seph R. McCarthy prior to his elei'tion to the United
States Senate, starting in the year 1941, provided such investigation be con-
fined to his public and business activities and only those that would shed light
on his overall and specific fitness to retain the great ofilce which he now holds.
Very respectfully yours,
/s/ William Benton
U. S. Senate
rakg
106
Exhibit No. 47
[Copy]
[Press release]
Washington, D. C, December 27, 1951
Release Time : 5 P. M., EST
By : Daniel G. Buckley, New York lawyer, former Assistant Counsel to the
Senate Subcommittee on Privileges and Elections Investigating Senator Ben-
ton's charges against Senator McCarthy.
At the time I was appointed Assistant Counsel to the Gillette Committee I be-
lieved my sole task was to seek the truth relating to the charges leveled by
Senator Benton against Senator McCarthy.
It was not long, however, before I discovered that as a staff member of the
committee I was expected to substantiate Senator Benton's charges and to dis-
credit McCarthy at the expense of the truth.
Because of this I feel compelled to speak out and tell the American people
the facts concerning the investigation which is now in progress.
My first job for the committee was to go into the "Wheeling, West Virginia,
speech which was Senator McCarthy's opening public statement in his campaign
against Communist subversion in the State Department. Senator Benton, In
connection with this speech, charged that Senator McCarthy "lied under oath"
and that he had deliberately deceived the Senate regarding the content of this
speech.
My job in Wheeling, I thought, was to find the facts — to find whether, as
Senator Benton charged. Senator McCarthy had said that he had a list of 205
Communists in the State Department, or whether, as Senator McCarthy main-
tained, he had said he had a list of 57 Individuals either members of or loyal
to the Communist Party.
While In Wheeling, I conscientiously interviewed a large number of witnesses
who were in a position to know what Senator McCarthy had actually said.
Everyone of these witnesses, save one, supplied information which cast grave
doubt and suspicion on Senator Benton's story and substantially corroborated
Senator McCarthy's account of the facts.
Upon my return to the Capitol I prepared and submitted an accurate report of
the facts as I found them — a task which I naturally assumed was expected of me.
Shortly thereafter Senator Tydings, who through some unexplained device
learned that I had handled the investigation in Wheeling, asked me during a
telephone conversation what I had discovered. When I answered that the facts
indicated that the Benton version of the 57-205 controversy would not hold water
and was falling apart at the seams. Senator Tydings became highly indignant and
Irritated.
I soon found myself on my way back to Wheeling — this time accompanied by
our chief investigator for the unusual purpose of double-checking on my original
report.
Immediately after arriving in Wheeling for the second time, I was shocked to
discover that the chief investigator appeared to be more interested in trying to dig
up material detrimental to Senator McCarthy than in arriving at the facts regard-
less of who they helped or hurt.
In one case, for example, he went so far as to prepare a suggested outline for a
sworn statement for the lone anti-McCarthy witness to follow. E)ven this sole
anti-McCarthy witness did not use the outline but prepared Instead an innocuous
statement.
After this and several other such incidents it became increasingly apparent
to me that the chief investigator was following a predetermined pattern of
prejudice directed against Senator McCarthy.
When I insisted that we seek only the fact.s, the chief investigator became
infuriated and at one point stormed at me, charging, "I cannot control you",
107
and "We are travelling along different roads" — which, incidentally, were com-
pletely true statements.
Despite such tactics as this. I continued to bring the facts to light and tried
whenever I had an opportunity to counteract attempts to slant or cover up the
facts. The Information I developed on the second Wheeling trip did more than
merely cast grave doubt and suspicion on Senator Benton's story. The newly
unearthed evidence demolished Senator Benton's charge In all material respects
and thoroughly proved Senator McCarthy's account of the facts to be truthful.
Following this experience in Wheeling, I was never again assigned to any
task of consequence concerning the Benton charges but was transferred to the
Taft-Ferguson hearings, only to be summarily dismissed a short time later.
While serving with the committee I was not at all surprised to find that Senator
McCarthy's arch enemy. Drew Pearson, was supplying the committee with ma-
terial. I was startled, however, to learn that Pearson had access to and made
public a confidential report which had been given to only four Senators.
I was told that when it was suggested to Senator Margaret Chase Smith that
we should find out from what source Pearson obtained this confidential report,
her answer was, in substance, that we should forget about It.
I have no Interest in Senator McCarthy as a person, but after I had an op-
portunity to investigate the Benton charges against Senator McCarthy, I came
to the conclusion that Benton's case is without foundation and politically
motivated.
It is quite clear to me, because of my intimate experience with the committee,
that the Benton investigation is part and parcel of an insidious campaign which
had two major aims: (1) to discredit and destroy any man who fights Com-
munist subversion— in this case. Senator McCarthy; and (2) to instill fear in
the minds of men — a fear which our enemies hope will effectively scare loyal
Americans, in private life and in the Congress, into silence and prevent them
from speaking out against the Communist threat to this country.
Wh'le I realize full well that this statement which I am making will end any
chances I have for work either in the government or in the Congress, I feel
compelled to speak out and tell the truth as I found it to the American people
who paid my salary.
Finish
108
Exhibit No. 47A
Talspbone Colla Mad* fron HoclcTllla Centr*i
Kew Tork, 6-5UU2
Sub8orlb«rt Dailel Q. Bueklar
2U3 N. Centre An.,
BoclcTlU* Ctntrs, L. I., M. T.
s«t«
TlM
NuBber and
Parson Callad
Eaaarfca
12/20/51 -
Jj«25 P. K.
3 Nina.
Nitlonal 3120
Station to Station
Subscrlbar - U. S. Capitol
12/27/51
liiU P. M.
3 ttta«.
HEt. 0233 Vaafalngtan,
B. C.
Sobaoriber: Fulton L*vla,Jr
Barr MUldlng, Washlnt.'ton,
D. C.
12/27/51
7«i>0 P. M.
11 »lna.
HO 501^ - tfaahlngton,
0. C.
SubBcrlbar •> Jaaa Earr,
3032 21ith St., M. 1.
12/27/51
10f33 P. «.
It Mlns.
■ ■ ■
,
12/30/51
U>56 1. M.
8 Mins.
HD 5(Ui6 - WaahlDgton,
D. C.
Subacribar - Jean S»rr,
3032 2i»th St., S. B.
12/3V51
8t30 P. K,
3 mns.
HO 50U6 - Haahineton,
D. B.
Subscriber • Jean KexT,
3032 2Uth St., K. I.
1/2/52
3«50 PJ*..
3 Nina.
National 3120
SUtlon to Station
Subacribar - U. S. Capitol
1-3-52
Ii36 P.H.
JNlM.
HaUonal 3120
Statloa to Station ^
aabMTlbar - D.S. C«ltol
Talqiban* Calla Made Froa HO 50tt6, Haahlngtan, D.C.
Sobaerlbari N»8. Kllaabctb r. Kerr and
Miaa Jean F. Karr
' 3032 21(th Street, ». B.
Maahlngton, B. C.
12/27/51
12/28/51
12/28/51
U/51/51
V8/»
l/j/52
J/lS/52
3i06 P.M.
3 Hlna.
12 1 35 A.M.
10 Kins.
7»35 PJ^.
3 Nina.
91O3 ?M.
6 Nina.
lliOli PM.
3 Mlna.
Ui27 PJ(.
it Hlna.
8t26 P.N.
5 Nina.
Huaber aid
Faraon CJled
TVtt 8-500 - Dan
Buclcl«gr c/o
iaerican iirllnaa
Baaark a
Call aada by Nlaa Kerr froa
Senator HcCarthjr'a office.
Senate Office Buildlnc, and
billed to H) SOiiS.
liooJcTllle Centre,
N. r., 6-5U»2
(Daniel Bucklagr)
Boelnrllle Centra, b-5UU2
H. T. (Daniel 0. .«
Buckler)
RockTille Centra,
N. I. 6-5Ut2 (Denial
0. Bttcklar)
Sockrillo Centre, Call aada by Hlaa Kerr at
N. r., 6-5Ut2 (Daniel U lt-d901, Waahlncton, D.C.
a. Ducklar) and billed to H) 501^
aockrllle Centre,
a. T., 6-5Ui2 (Dwilel
0. Boeklejr)
Oardan City, M.I.
7-9853 (Dan Bucklajr)
CaU flrat placed to Rockrille
Centre 6-5UU2 and transferred
to Qardan City miBber.
109
Exhibit No. 48
lQ^%^. i^So
^T^f
^^t^ M^f^, ^.
'€^¥'^1^
'TUxiUb SiitA»» S>*neA*
.%^>»-<tff:
A 6Si^
110
Exhibit No. 49 — Letter dated April 5, 1948, Appleton Stiite Bank to Senator
McCarthy
April 5, 1948
Senator Joseph R. McCarthy,
Senate Office Building, Washington, D. C.
Dear Joe: In reply to your letter of April 1st. Before going into detail on your
stock, you will probably recall that we haven't returned the notes of $5,883.77
and $47,060.19 which were due January 15th, for the reason that when we sent
you the notes to sign, you signed the one note for $47,060.19 and the other note on
which the interest had been added and did not send us a check for the interest.
In other words, we would have been increasing your loan by $463.26 and on this
I had specific instructions from both the Examiners and the Directors not to
increase the loan by failure of payment of interest. We are returning herein the
two notes which you sent us on January 15th marked "cancelled", for the reason
stated above. This has left your notes past due since January 15th. If we run
these notes another 90 days from January 15th, they will mature on April 14th,
making a total of $926.52 interest due at that time. I don't think the directors
would object seriously if we took the amount of interest due on April 14th from
the check of $2,400.00 which you are to receive as a dividend on the St. Paul
stock.
The two notes which are secured by collateral amount to $.57,944. and your
collateral as of today's prices, including Ray Klermas' collateral, less the $10,000.
savings account, makes a total of $65,055., or a margin of approximately 20<7f.
If there Is any disturbance in the market you can see that this margin would
drop materially.
As to the note which we are carrying for $20,000.00 endorsed by Russell M.
Arundel, the Directors haven't looked too favorably on this note for the reason
that Mr. Arundel hasn't any liquid assets shown on his statement, as his statement
shows mostly some local companies which he controls and real estate which is
encumbered. Therefore, I think you should advise Mr. Arundel to be prepared
to pay this note when it is due on June 8, 1948.
As far as I am concerned personally, if your collateral will show a 20% margin
without Ray's savings account after the Arundel note is paid, I will ask the
directors for their consent to release Ray's savings account. As soon as we receive
the $2,400 check for the St. Paul dividend we will mail you the two new notes to
sign so we won't be increasing your loan by the amount of accumulated interest.
The note at the Bank of Black Creek endorsed by A. Polisky has been due since
March 8th. I understand thafca new note was sent to you to be signed, but up to
this time we haven't had it returned to us, signed. In the event you have mis-
placed the note which we sent you, I am enclosing; herein another note which you
will kindly sign and return to us as soon as possible so we can get this Black
Creek matter adjusted.
It would be my judgment that MacArthur is going to run first in Appleton and
that it will be a close second between Stassen and Dewey. The early part of last
week we heard that you were going to be in Appleton last Friday, and I figured
that you were probably going to Introduce Dewey at his speech that night.
With kind personal regards, I am
Tours very truly
President
MAS: H
Ill
Exhibit No. 50 — Letter dated Septenibcr 29, l'J',8. frntn AppUton State Hank to
Senator McCarthy
Iwritten] n/lli/48
September 29, 1948
Senator Joseph R. McCahthy,
% Hotel Appleton,
Appleton, Wisconsin.
Deab Joe: Last week we were finished with an examination by the State
Department and they placed your note endorsed by Russell Arundel on the
objectionable list, meaning that we either must get the note paid within the next
ten days or charge it off. Of course, when it comes to charging it off, it would
mean immediately handing it out for collection.
They were very much insistent that we take the $10,000.00 savings account
of Ray Kiermas on payment of the note. I am just giving you this so you can
see that this needs your immediate attention.
With kind regards, I am
Yours very truly,
President.
MAS:H
Exhibit No. 51 — Letter dated October 9, 19^8, Senator McCarthy to Appleton
State Bank
United States Senate,
Washington, D. C, October 9, 1948
Mr. Matt Schuh, President,
Appleton State Bank, .■ippleton, Wisconsin.
Dear Matt: I am just in receipt of a notice to the effect that my note of
$6810.28 will be due October 14, 1948, and that my note for $46,133.68 will
fall due on the same date.
Matt, if it is agreeable I wish you would take the interest due on these two
notes out of the interest fund I have there and renew the notes.
Received a letter from Bill to the effect that the account he has up as col-
lateral has increased in value by approximately $400.00.
With kindest regards, I am
Sincerely yours,
Joe
Joe McCarthy.
McC : mh
Exhibit No. 52— Letter dated October IS, 19^8, Appleton State Bank to Senator
McCarthy
October 13, 1948
Senator Joseph R. McCarthy,
Senate Office Building, Washington, D. C.
Dear Joe: I received your letter of October 9th. but in that letter you made
no mention of our letter to you of Septeml>er 20th with reference to the Arundel
note. Lawrence tells me that he heard through F^ill Lawlor that it is ytnir inten-
tion to sell the preferred stock of Chicago, Milwaukee. St. Paul & Pacific and
pay the Arundel note. This, of course, will lower your collateral by $20,rK)(X(X)
and surely it would put Iwth you and tne in the doghouse. I can't .see any way
out of this except for you to insist on Arundel paying this note at this time. I
am afraid that unless this matter is adjusted, they are going to ask me to sell
all of your collateral and any additional collateral that we might have that is
hypothecated to your notes, so that the loan will be paid up in its entirety.
I hope that you can arrange this within the next few days, so I won't have to
dip into Ray Kiermas' savings account in order to adjust your loan.
With kind regards. I am
Yours very truly
President
MAS : H
AIR MAIL
112
Exhibit No. 53 — Letter dated October 18, 1948, Senator McCarthy to Appleton
State Bank
United States Senate,
Washington, D. C, October 18, 191,8.
Mr. Matt Schuh,
President, Appleton State Hank, Appleton, M'isconsin.
Dear Matt : Just returned to Washington and received yours of October 13.
Wonder if you would hold up everything on this until I return to Appleton,
which will be immediately after the election.
Sincerely yours,
Joe
Joe McCarthy
McC : mh
Exhibit No. 54 — Letter dated October 20, 19^8, Appleton State Bank to
Senator McCarthy
October 20, 1948
Senator Joseph R. McCabthy,
Senate Office Building. Washington, D. C.
Dear Joe : Your letter of the IHth received, in which you requested that I hold
up everything until you return to Appleton right after election. I can hold this
up, providing you write me a letter immediately advising me that you have made
arrangements to pay the Arundel note without using any of your collateral,
which we now have. Otherwise, unless I have something definite along these
lines, I will have to ask that this be taken care of before then, because it is right
down to the point now where I have to act.
With kind regards, I am
Yours very truly,
President
MAS:H
113
o
\ La£ fF^f^- C'^^
1 tc^ il^TlON/':- J •^N^
Ss It '■» i/
114
Exhibit No. 56 — Letter dated December 16, 1948, fi-om John R. Priec to Soiator
McCarthy
[Copy]
December 16. 1048.
Hon. Joseph R. McCarthy,
United States Senator,
Senate Office Kldg., Washingtoiu D. C.
De-ar Joe: It was certainly a pleasure to hear from you last Monday niominjr,
and I thought it very considerate of you to think of me out here in Santa Ana.
As you suggested. I bought f(»r myself and a few close friends, something over
one thousand shares of Seaboard Airlines .'Railroad. My average cost was ap-
proximately 21. The stock went ex-dividend > 1.00 yesterday, and as .so often the
case, it lost more than the dividend. However, they should earn around .^T.HO a
share this year, and if the first quarter of 1949 dividend is as you expect, we
should certainly .see the stock run up in price.
Joe, no doubt you will stay pretty close to this picture, so if you .see or learn
something that in your opinion you feel the stock should be sold, I would appre-
ciate very much, a wire or call to that effect.
Once again many thanks to you in my behalf, and I hope it will not i)e too long
before you again pay a visit to the West Coast, and I will be able to buy you that
drink.
I told Mr. Bry Williams. President of the First National Bank in Fanta Ana,
that ,vou had sent him your regards, which he appreciated very much.
Kindest regards and every good wish for a Happy Christnias and a most
Prosperous New Year.
Your Friend.
JRP/d
Exhibit No. ^7— Letter dated -January 5. 19J,9, Setwtor McCarthy to John R. Price
United States Senate.
Committee on Banki:.g and Cthrency,
January 5, 19^9
Mr. John R. Prick,
Dean Witter d Co.,
516 \orth Main Street, Santa An<7, Californi<i.
Dear John : I appreciate receiving your letter of Dec^^mber 16th. It was good
to hear from you and it was also good to talk with you the other day.
The Seaboard still looks good to me. In fact, so good that I picked up about
2.000 shares myself. While I am disappointed th:!t I didn't wait until it dropped
a little lower. I still feel that I got a ver; good buy and mine averaged around 21.
\\\X\\ every good wish to you for the New Year, I am
Sinc<>rely yours,
Joe
Joe McCarthy.
McC : hn
1 1 r,
recently, in order to aveniKf down my original cost of 21-3/8. I will appreciate,
,I(>e. anythiiiK that you can tell me on this picture, as I have sold a considerable
amount of this stock to friends and ac(|uaiiitanccs, and of course they are asking
rae questions daily as to whether I think we should continue to hold, due to the
fact there has been no dividend de<'larMtion. You probably noticed that their last
year earnings were approximately $7.70 a share, which is excellent to say the
least.
I notice by the Los Angeles Times, that you were recently out on the West
Coast, but suppose that every minute of your time was taken up with otflcial
duties: otherwise. I would have enjoyed the opportunity of seeing you.
With kindest personal regards, I am
Sincerely,
JRP/d
Exhibit No. 59 — Letter, March 10, ]9.'i9. to John R. Pricv from Senator McCarthy
United States Senate,
Committee on Expenditities in the Executive Departments.
MarOh JO, 19^9
Mr. John R. Price,
% Dean Witter rf ComjHiny,
516 yorth ]fain Street, Santa Ana, California.
Dear John : Some of my friends who are very definitely interested in Sea-
board Air Line Railroad still tell me they feel it is one of the best investments
on the board. However, as you know, it is always possible they may be one
hundred percent wrong.
I am enclosing herewith letter which I today received from the president of
Seaboard Air Line Railroad, which I feel will not be of much value to you.
I don't know if I told you I picked up some Seaboard myself and definitely
plan on holding it, at least until a dividend is paid. If I get any more infor-
mation, John, I will forward it on to you.
Sincerely yours,
Joe
Joe McCabtht
McC : d
Exhibit No. 60 — Letter dated August 25, 1950, to Appleton State Bank from
Senator McCarthy
United States Senate,
Committee on Expenditures in the Executi^te Departments,
Aufiunt 25, 1950
Mr. Matt Schuh,
President, Appleton State Bank,
Appleton, Wisconsin.
Dear Matt: I had hoped to see you in Appleton in early August and for that
reason put off answering your letter of July 2r>.
The idea of .selling Seaboard at this time is extremely tempting. However.
I have checked with some of the Board of Directors and they advise again.st
f'ling under any circums;tnii' .s Goodbody & Company also jrivps SeMbo,Trd a
high rating. For i i T th'^ik we .should hold on to ^nv
■'7
116
Exhibit No. 61 — Letter dated October 3, 1951, to Appleton State Bank from
Sen-ator McCarthy
[Written] IC
United States Senate,
Committee on Expenditires in the Execvtive Departments,
October 3, 1951.
Mr. L. F. SCHREITEIl,
Assistant Cashier,
Appleton State Bank, Appleton, Wisconsin.
Dear Larry : I wonder if you would send me all of the security which the
bank holds at your very earliest convenience.
I understand also that you are holding some of Ray's security as collateral
for my loan. If those have not been returned to Ray, I would greatly appreciate
it if you would also take care of that.
It is rather important that I get the Seaboard stock at the earliest possible
moment. Therefore, I would appreciate it if you would rush this for me, Larry.
Hope to be back in Appleton for several months this fall, at which time per-
haps we can get together for that long overdue bottle of beer.
In the meantime, good luck.
Sincerely yours,
Joe
Joe McCarthy
JMcC : K
Air mail — Special
Exhibit No. 62 — Letter dated October 5, 1951, to Senator McCarthy from Appleton
State Bank
[written] IB
Oct. 5, 1951
Senator Jos. R. McCarthy,
Senate Office Building. Washington, D. C.
Dear Joe : In accordance with your letter we are herewith enclosing the
following :
700 shares— SEABOARD AIR LINE RAILROAD COMPANY common stock
Cert. No. CC2472/CC2478 inclusive for 100 sh. each n/o Joseph R. McCarthy.
700 share.s— THE FOUR WHEEL DRIVE AUTO COMPANY $10.00 par capital
stock Cert. No. C6101/C6107 inclusive 100 shares each n/o Joseph R. McCarthy.
2,000 shares GOLDFIELD GREAT BEND, Ltd. Cert. No. 2664 n/o Joseph
R. McCarthy.
Drovers draft No. 90144 for $879.81 representing the amount held in your
Interest reserve account. This amount includes the 10/1/51 dividend on 700 sh.
of Seaboard for $700.00.
ALSO enclosed are our collateral register sheets Nos. 2867, 2871, 2885 and 3216
which we ask that you kindly sign and return to us in the enclosed self addressed
envelope at your earliest convenience.
Yours very truly.
Asst. Cashier d Trust Officer
Enclosures
Reg. Ins.
Ifs : Is
1
2
3
4
5
6
7
8
9
10
11
;CP-7-50
lEf29-50
HC21-50
IPR25-51
JUN22-51
JUl-6-51
SEP24-51
a££21-91
IIR21-92
JUI20-52
PC
laoooix)
L200^
♦300.0C
*zoaoo
*346I)C
♦♦230
'491
^♦0.74
♦ ♦500/)0
♦♦801i5
♦♦803.75
♦1J003.75
♦1349.75
♦UMS
♦*154j58
♦♦155.42
H
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A B
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NATIONAL SAVINGS AND TRUST COMPANY
d
Washinoton. D. C.
1
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13
;
14
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15
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16
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' h«rrbT t»Mnt to th« By Ltwi Rules and Rtgultttons go<tming this account, m prtntad In ttm
Patstwok and thi> aisant shall include all amendments whtch may b« hefvafttr mad*.
SIGNATURE
.
SKi
NATURt
.
118
Exhibit No. 65
^ /
SAViNQS DE>»ARTMENT
/UiV. 62950
T* b« plmcti (• tb« areik af
SEIm'. J of MC CARIH Y
IN
National Savings /Trust Combwy
19.
CurrMioy..
Coin*
Ghfwkt, Aarou^wt:
DaBtn
500.
}0
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7000.
JOOO.t^O
10300.1)0
119
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5.000^0
120.75
7.000.00
3.000^0
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20 6.60
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f9aC!9 ZM7.60*
JP UN (f 7.567.60 ♦
VI HM J r 7,067,60 •
J9JM/5 6.617.6a»
WJW/J 6.4«7ji0#
VI vw ? 5.46 8.60 •
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?d«i»»?p 5.067.60*
9(»mi r 4.65 1^0 «
WHIT / 3.95 1.90 •
fitmrzs 1.95 1.90 •
SOmfSj 3.95130*
V)iW/5 »t.95 1.90«
v\ u fe "1 1.503.90 ♦
WJM'rr 1 t.055.9O«
WM,?f 10.99 2.40 •
39Jtt?« 10.97 7.40*
KrjtJ; 10.952.40*
$ft«iKr* 8.968.97 •
^o aim ^ » "i.rtfir.i? ♦
50 IMC 2* 2.868.97*
Vi*p f 7.868.97*
«»«»f« 5 7.768.97*
<n«TP 7 7.54 8.2 2*
y)«W> « . 540.22*
9n*rrtr p 2.459.78
Vi<n>;» 7.540.22 •
5nvp ;9 2540.22 ♦
»S!r25 7.540.22*
war I 34 0.22*
V>rT ^ '0.34 0.22*
SeiXTft 5.19 0.22*
5ffttrr3t ^5.090.22*
Snmt tf^K,^ 1.909.78
^rmov/ *" 8.^9 0.2? •
sofr(^^ 7.090.22*
51 mil 6.990.22*
5/JIW/7 3.99 022*
ii tmtT
The Riggs National Bank of Washington, d. c.
DU>^^NT CIRCLE BRANCH
121
Ex in HIT No. 68
■i«aan^' MoCANTViv
^itmt^ ^icJU» 4&ni4i«
• • * * V.l_ • • •
Septenber 29, 1950
Se^Inf^s Bcpartaant
National Savings axid Trust Company
UasMngton, D. C.
To Whoa It-ffey Cono«m:
This is to authorlM Hlas Jean F. Kerr of vr staff
to wlthdrow $10,000 fro« ny saidnga account for ne.
Following is Miss Kerr\8 signature!
jlnQfifeiy yours,
JCE McCARTHT
HCC:K
^^
122
Exhibit No. G9
'V^T
i'^^'uL
c/
f :r
^ -'Lai
f-f\P4
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,|>>[.UU;,|,|.;:|,l.|,|,|:p;,|,i.
123
Exhibit No. 70
■i^i1t!'i-|'l'l'H'l#FH-M-l
• 1. 1. A I
I i . i M ! I I I ! ! i I i I I I I M
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124
Exhibit No. 71
125
KxHimr No. 7l»
r,
" tJjJ».%m^oir aup
D«rO«rT«» WITN
254 Senate Office Bldg*
t>in% Deo, i. 195
SMDOJHDMa
0I0014ONS
•T UGOTatB) MAN.
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•«fv •• tfcfa»T««r'i iDlWaifif mgtmt mmd ■Mumn no mp***>b<l*iv
>i> — < 4iM um ik«f lU Htmt an v«4»«4 (aHnt M l>ul ^ar^MW
w Mh ■««* •! it! ov« «/Ik« la caah o« tolrrtM cv«4Ma4 flM( tte« Bank
'Jl ■»< 4u« «ilit>iMD« «• <tM MUa>» o< corUciiot aao^ ^<" ■'"
>« h« liaMa ui MM «< ikata ra>lxr< oa tw(li|«»cc, <>• tea Io«m< 'n
WMMi ikM auk cjaiaapow^raa ao aalaoa^ ifcall oo ba iMbtc auap<
•■• ■• v»<< aaf I'fafKai ika< daa Baak m aallaaiiavi afMMa sua aas4
■Maw, ttrtaly oa im^lffctly, ■* aoy Wak, Lnalo^inf *• «aawaa «a
pavoa (mar a«a-rf« rtaacfc. 4mft m t9m4n m »ot^ii*om*i pttr^"*' *"
taa» at caalt, tm* thtU mm k« luMa to* 4wtM>aMa »< diacki aa ^rafia
•• laa arvarwl a< €m*Mt as ra««Ta4 la parOMai noa tot loaaaa ikaaaaa.
*•< Mm B«Jkk IMT ikart' kaa* aar Mm m anr nma katoM aciual
naal yarataai. wWrtxa muriM^ aa ■••. «a4 aur tim f*a'|a back
•ar MMB 4ra>i. oai ik< laxk t(, vii^a *> >*nk'a aanMl k«a4lm4
Mno4 taa au^ .laai. n ■ •aaarv.M^ W Ifca Baak lk<t *a ta« .t
•Mt aa k* haaiaaaJ t%*.mM dx «rawar'a xaauai, ik« la aoUroint
koa^ aa aaupoai Ika kant aUT c»>ar»» ka<* aaaooaa a< .acoma M«.
.1 aaT; tm4 *vat iS.a aacotMi .a oil-wai lo all U»« ai>J patu>a»>>aM a<
riaa Ua.iaJ tuaat aa4 a< ika D.a<a.<i at Cal.aik i ■•" a» baraaliar
«NOOI»«« ALL CM«CIC« IM TMI« MAMM««1
»«▼ TO T»a« o«io«« or
7*r *«iW Nmtional Bm m k
ITOU* ••••aATUWKI
126
Exhibit No. 73
. . M , J I i i I I : ' I ' III ■ J ! - - ' ' . _:._.:] : l_\\
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Exhibit No. 74
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128
Exhibit No. 75
^jUe^ p-. Z^.l^ J^'<^
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129
Exhibit No. 76
I>EPOSITKn WITH *-
Oy AIM'LKION. UIS.
In r*(rivinii iirm« d.r Jrp«.ii ..c collrxion. rhi< li«cik «>ii <>ntv <• J,.
p««it«r'« collrtlini Jcrnf. ji<J j»umr» no rr«|«in>ih>lil\ twtotij ihr rarn i<r
.<( Jur xrr Ml lrm> Arr i rrjilrj •uKirM l.< hnal p^iknirttl iii , j.h ,.r M.Uriil
.rr.lif. Iln. lUi.k »ill n.X he Ii4hlr (..r .Irl^iilf .r n.cl.Krn.. -I .1. .luK ^
lr>l.vl ...ri.-rx.n.lrril. n..f t..i l.—r. m lr*i...t, in.l r j. h , ..rrr.(..r..lrMI «■
.rlr.i..! .twM n,.i U l.*M. .,.r|.i I.T .1. . .« n nr«l,,i.n.r II... U^nb ..f il.
>..rri-.t«.Hi.l.nl. mjv .. 1..I ifr..... J.rr. ll» ..r in.lifr,.!,. ... .„> I^^i.t. .... lu.linu
ihr pjtor. jn.l Jt.rpl il> Jr^ll .>r irr.l.l dt . 4>n.lil..>njl pi«n..ni ii. Ii< <i ..) , i.h.
■ I ma\ ih«ri;( hai k An\ il.ni al jn> limr Srlorr hii.il |<j\ri..i.i. »lirfl.rr rr-
lurnrj iir n>i<. alvi an\ lITin JrjMn on lhi> llinli n>>( |{>i.kI ji ,I.>m' .■( Ku.in. ••
■ HI Jj\ JtpoMlrtl.
I \PIK 11!^ AC.HttAUS'I. IIIMn I Mil' Hf 1 1 ^W
AKl 111 RliMY hi h'slK I' IV
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130
Exhibit No. 77
i.""-! .'iiiS*?
>EPOSITfcD WITH
Oh APPl-ETON. WIS.
In rrx-uinn iicmi l,>r J« p.»ii .>r ».'llr>ri.m. ihi« Hjnk »tt« tmlv » dt-
,...l..r'. ...Ilrvlm^ ..u<n«. .n,! .,..,mu> n p,.n.,h.lif> Kv.mJ thr r«rr» .«■
I Jiu i.r. Ml ,i.m- .,r.- >r.J.<.-.l ...hu. X.. final r->n><nr .n .j-l, ,.r ~.l.rnl
rf.lK.. n... M.,nk ",;l n..» K- luhU- t.-r .1. 1.iull .r n.-.-lit.n, r ..( i(. JuU .r-
.t.a vi rr.si-..nJ>ni. ..>.r t..r I..,m . .r. ir,,n.,i. ,.„,l .uh . ,.rr, .(vr, J. n< «.
.i-l.iifd .lull n..t K lijhi.- .x.^-pt (fr ,f. ,.»n n.-^lictn.-f. Tin. lUnk i<r ii.
orrv.fS.nJ. HI. m.n ^,nj ,i> m.. Jir., ,U ..r .iiJirr.lK, !,■ ..n^ K..nk .nju.l.nf
h. |'..\..r. ..n.l .^.i-pi i(. .lr..H ..r .r.Jif 4. . . n.lM.,.njl piMn.ni m li,u I .j.h:
I m.o .li.ui;c H.uk jn\ ii.ni jt jnv iim, Ktorr hntl p^vmcni. "Ii.ilur r.-
urni.l ..r 11. {. ,iU.> tn\ iii-m Jfj"n i-n ihM Hjnli not (>iv.J Jt vlx,- ,>l hu.im-..
.11 Jj^ J,-r...,Kj
i MMK nil- AuKMMfM, I IIM^ llNrif' [-Ua 'W
•\Kf ii! Ki Hi ntro-ifip l.V
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^ppc- : . -A t^ , ^>:;^.
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J.^TM-''X^CS> Od
■t TiUI All. ^ tifc' K^ -Wl' IHvARS ARE ESlK^R-fcO
131
Exhibit No. 78
1-A
APPLETON STATE BANK
APPLETON, WISCONSIN
Henr; J. 'H^atr-.ten A file A; noa
:or; vil''-e, '.U nconain
Ituatl iHntinrsiHai
3.V0-
81S1-
662 5-
2 .0 •
1 Od.l 3-
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4 21.7 e-
1,0 •9.7 2-
6 50^ 6-
f>x b . . .. -
23:5 9-
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56 3.4 6-
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4,3 0.0 '1.1. l^'*'.-
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9 3 5.0 2 tin 2'U
4 7 3.S6»l.i. ♦M
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4.1 3 2.5 4 •
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132
• HCCTMO.-
1 B
APPLETON STATE BANK
APPLETON, WISCONSIN
«»„_H|W"^J. TanStraten & wife k^^ea -T^^^^ ■
R. R. #1, Hortonwm,f, wi«. *■**•; *^L;^'..•■*^
" — '••<ir;?«*^«».7.';»
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1,535^ 3»
1,0 7 o _J 7 •
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1,027.80'
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133
? A
APPLETON STATE BANK^-
APPlETON. WISCONSIN "^T-
t ■■OHtitTroi««*t
150-
1 2.0 0-
7.1 9
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4 9 7 X) 9 HAI 2 1*«7
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574i 4»
1,2 4 3^9
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135
2A0
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1,166B3
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1.263j08
taC 6*47
UB 12^7
1,4 3 233
1,4 63 3
UK 20*47
1,37 4.5 4
2 B
134
APPLETON STATE BANK
APPLrrON.-WIBCOMtlN
~»«t Etsoxy J. 7?in Strnt en A wife A*T>e»
.»—... R. R. # 1 Hortonvllle . Win.
2520
10J0 4
3 5X10
8 5 728
2X)0
4.1 9-
6.0 0-
73 0- 2 8.7 9-
:> 8.7 9 K
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1,090^68-
5.4 6-
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Mi28W 4t«34
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930i>0 18J0O
ar 3W 99 3^4
ar 4<«7 94 3J.0
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-oo. StfllH? 900a0#
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13^5 , » 26-47
lOOSt) StP 2 7«47
5.3
SEP 26*47 9 86>4S
8 8 6>i5
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9 23 7KT 3'«7 9 3 33 2 •
4jOO K* ''^f 929.92
ltfOX}0 «24*t7 1.08932
Kf27M7 83224
(KI29 2 3 024
1,11180 OCT 31 1,342X)4
2234 W I 1,319.70
Miy 5*47 1,3153 1«
NUf 6'47 1,3 9.5 1»
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m 20*47 l,8 8 0i01
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^c2 4'«7 2.0 3 9.4 0*
BU 31*47 9 4 8^81*
Ja;. 1 1>'«6 9 1 1 .a 9 •
135
3 A.
APPLETON STATE BANK -•>^.
APPLETON, WIICONBIN "^"'-^
~AM. H«nry J. Van Btraf n aad wljfg^ Agggy
«o«.. R. R. »1 Hortony llle. »H.
3 62
8 17.5 0-
1 2 .1 3 -
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4.0 0-
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Fuii'a
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2 J.." 7 .-<-i' .; 40
12 8.7 6 nm 17a
1,12 0.6 3 m** 18 4«
am 19*40
9^7 :*
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434J 9*
352D6«
34 0X)6 •
3 3 6.0 6 •
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66 8^2*
1.7a 9.25*
1.76 2.3 2*
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1.46 oX 8 ♦
1 0O.C c
136
• MgCTNO — 3 fi«~-
APPLETON STATE BANK
APPLCTON. WISCONSIN
«*M». HfoU. J». 7»n _8trat«n and wlf« Agnes ,%v, v*^
R« R. »1 ^rtontrllle, iri». "^•Vi
ADenaas
1 0.0 0-
27J^0-
5.95-
1,0 7 5.0 0-
? 1 .7 9 -
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1 0..0 M', 1 i'*e
57^5-
4 6.0 0-
6.00-
3.7^
1 3j6 5-
4 5 6 .5 5 -
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AUG26'4l
AUk 30««
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stpaoa
it^■2 7♦•
1.6 1 9^ 0«
1,7G 155«
1.7 1 5.5 5 •
1,7 9.5 5*
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1,6 9 .:}.'=. n *
1,9 6 1^0 •
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1,569£4»
J 1,544.64«
1, 5 3 7 .1 4 •
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• MSCTMO..
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APPLETON STATE BANK
APPLCTON. WISCONSIN
HAM< B«nry. Ji fan atraten azul alfa Xga^m
23 7-
103i S-
3X)0-
4^6-
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6 ^^ i-
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3.2 0-
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1.326.t»*
1,626£9»
1,62 3.69«
1,0 2 0.6 9 •
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1.8X 3.43*
1,3 16J 8«
1,2 5 2.3 5 »
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551X)8«
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1,9 4 4.7 3 •
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138
APPLETON STATE BANK •.
APPLETON. WISCONSIN
,869^98
1,36 4^5«
6.0 0-
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4.3 0-
2 23 A-
1,5 00 0-
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1,9 3 0.1 7»
1,8 2 8.0 4*
l,b2 4.1 9*
139
I
APPLETON STATE BANK
APPLerON. WISCONSIN
sAMt ■••"ir.i ". ''a" ^-i!''?e'.' It-"' < Kt^_^h?^.
:i. ft .-. it >.:vllle. '.'l ,■•->!. din
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1,U 2 4.1 9 s
l,b08.1 9*
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i,y7 9.'>i«
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150^0-
9^0-
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APPLETON STATE BANK
APPLETON, WISCONSIN
«A»««HfiBry_J . -^; n Strut <:x^ ana _t.' 1 f »t A^itea
>»»-,-f H. t\. »i n- jr;onv ll le. WijoDPaln
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»74.aaa
787£2»
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7 6 9.1 4«
7 6 4.1 4 »
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9 52.7 4«
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141
APPLETON STATE BANK
APPLETON, WIBCONSIN '^
^.^, Hfurv J. Vhii Jtrtten 4 wlfo A^rnuu
.CO.... ^- If 1 Hon invllle. wt^.
5.30-
D . J "• y .0 ■
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142
APPLETON STATE BANK
APPLETON, WISCONSIN
MAMc Ht!iiry J. Vn:'i otruter. i ivlfe .wite-i
•!■■ H: .?.l Hjrtaiivllle, '.^a.
4J2 0-
'•■ 0.0 0-
"'"•"
"" °""i' •*"-<^'
JOLZS-SZ
3.951.7 3 S
Al ; TiZ
3,94 7.5 5 ♦
■, -5 7.-; '• r:
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143
Exhibit No. 79
l ^nry J. Van Jtmtea - -o-arlttfj^altw - l^l/'-l?^
P»l.T», .fobor, Jac}»jn :: ;urtl», . ^ .I wi ili— » •'!».
l?b6 S>lea
$0 AUe ■•»■/ Corp. I 257.55 ' I 3L6.37 5 ^^.82
10 F*a» iitchw iMd 207.32 260.02 60.ap
15 i>»ck*nl . o'.or» 129.50 lU.21* IJuW
100 CoiMu»»o*lth-^j».t .«m L21.76 L32.72 60,96
l gU7 :*le»
60 Bcrk.-'nire Pin. .-^nni. I l^y.OO ;= 1.0'^.L2 i If^^lj?
L'U-3 3|fcl>t
60 «rO«r PpoducU Co. > -il7.50 "J5'7"-' C i&i»
lylj? SaleB
60 av...iai.-tft..-.-:-«:..'..,i. t 1,330.33 C 133.15 ^(1.391.931
50 ^1^ .a.ot.1. s ^!%:^ . l!S:iJ i(i.jd^:S -
1950 Salwt
IX 3ftlcWln LU«» HaeiUton 3 l.a;0.6a * \.2T^»n 1 1^3^72
1^51 S«le»
« .•ni.-.U.-et.i'.-.-.c.Wl.^. $ 2.3^1.59 = 1.570.96 l( 732.63)
1^52 S^lca
30 Burroa:h« A «1. .ach. d 573.01 4 520.13 H S7.W
50Lacl.cea.--x,. UiD.92 390.lL ( >0.73)
100 AlleJ^^ ^orp. lb). 26 2/0.27 1-.97
fx):.«*.Kir.. .-IT. ^p:«.> T.-"'.>j y-]''t: ?^S>)
144
Exhibit No. 80
HENRY J. VAN STRATEN REGUUTED GRAIN ACCODNT
VrETH
PAIUE, WEBBE^c*^ JACKSON & CU'TIS, laUikUK'^, '.fISCONSIM
Prirct
Coamo
10
10
lases
dity
Date
11/2U/51
Sales
Profit
Date
Cdnniiifiaity "
(Loss)
8/28/51
11/1/51
May oats)
• " )
20 M Hay Oats
11290.00
12/U/51
15
n n
1/26/52
1? M Uay Oats
(30U5.00)
12/lii/5l
1£)
B n
2/7/52
10 U May Oats
(llil7.50)
U/28/52
($ 3172.50)
Date
Cash In
Cash Out
9/7/51
$1,000.00
1
2/11/52
2,1400.00
U/25/52
800.00
5/8/52
3^27.50
$U, 200.00
$1,027.50
3,172.50
♦U, 200. 00
$U, 200.00
145
Exhibit No. 81
HOJRT J. VAN STRATEN REOULATED GKAIN ACCOUNT
WITH
WAYNE, HUmffiR & CCBiPANT, CHICACX), ILLDJOIS
Data
S«pt. 19U9
Dec. 19U9
Purchased
CoiLiaodity
5 U May ^e
1 U July %e
Date
Sold
Connodlt7
5AD/50 5 M May I^e
7/10/^ 1 M Ju]y I^e
5A9/50 Storage
7/13/^0 Canadian Exchange
Profit
(Loaa)
( 677.50)
6.25.
(3.23)
_Sh2Jl
♦( 675.55)
Date
Cash In
Cash Out
9/8 A9
♦1,500.00
1
11/16A9
250.00
12/29 A9
500.00
3A7/50
350.00
5/11/50
1,700.00
7/27/50
225.52
$2,600.00
$1,925.52
67U.h5
$2,600.00 $2,600.00
This schedule embraces operations
of Heniy J. Van Straten in coei-
modities through Wayne, Hummer &
Coopaqy, Chicago, frc»n the
inception of the account on Sept-
ember 8, 19U9 to the date of the
receipt of $10,000.00 from
Senator McCartl^7• on October 3»
1950.
146
Exhibit No. 82
■
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■"^^■■•^^
^
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.il r..iii!;
oi >iU»j.iMloii, O
i
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.,cxio.'»
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a i'oatal ».oney order
if.'JU
•<;.50
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t-ostal !'0t«
nrmcetoD, Vaim.
Hart, >c^eniG»n
ly.'A*
1. /J
I. »«;'», Idalio
l.e«' loi-K -ity
lie« lorls ^it:'
3.00
kilmulceei •'i»'
■ •
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l.'/J
iJ.X)
25. JO
25 .JO
5..0
1 plotonp .'IS-
Port Chost«r, .-. i-
3utt«, i..onta.i»
Hj^rtfoiwl, Conn.
canton, ^U.
Oreen Jbj, -if-
J.. '•■/J
■ ■ 3<lv---i«r«, iiJ-
■^ s.rorsi<>«> ^'^'
l.X»
■ Do«wr» Orcre, Ixi.
■ Alo-on, Colorado
!
1 tstr'iu'"
«
H amrvji*$ xj-*-«
I /°^^
il,762^J
u
147
Exhibit No.
r
Z\)t Hdqsfi fictional ^atA
148
Exhibit No. 84
H9n\Jo4 SeCartd^. Spectil Aceonnt.
254 SaiMti 6;he« Bull Hag,
lashlostoa 25, D. C.
MtL
LEDGER A
/ 1.29 2.00
^/ 5 7 7.00
Z' 1.762.20
/l.31 2.00
^ P..0O
^ 1.30
•^ 1.51750
Y 866.37
500.00
3 7.4 3
22.90
6.4
200.00
5 0.00
6 0.00
25.00
80 0.00
125.00
7ftJI
25.75
15.00
14.54
132.60
31J5
94.19
10.50
20.00
7.50
4.25
6 6.13
2 5.00
20 9.5 3
200.00
4 4 8.00
•^«d(^
3 3.4
5 9.75
82.1 1
t.200.00
20 0.00
2.00
•
1 8 7.56
2 0.00
t/ 4M50
/a.096,00
X)N»T 2 J
jOM*t ii
M^Mf 24
»MT2tf
>0NkT2<
MJtM
X>JtM
JOJtM
MiM
X7JIJN
MJM 13
>0 J* ?5
>0 JM ti
?0 Ui 16
>OJun 19
■>o »* ?0
)0 X»i 2C
■tO >ti 21
».292.00«
t.86 9.00*
3.631 .20 •
3.1 3 1.20* ?|
4.443.20* '
4.4 05.7 7 •
4.40 7.77* '
4.38 4.87*
4.3 7 8.4 7*
3.88 0.91*
3.88 1.91 • 1
2.931.91*
4.4 4 9.4 1 *
4.34 5.95*
O 3 2.35*
5.18 4.18*
5.02 0.29*
4,9 t 5.5 4*-
4.89 5.5 4*
4.eFe.04 •
4.88 3.7 9*
4.79 2 66*
3.9 3 5.1 3*
4.3 4 8.6 3* I
4.303.49*
4.115.3 4*
4.0 3 3.2 3*
4.72923*
4,7 2 72 3*
/i3 5 23.
The Riggs national Bank of Washington D C.
149
f
^
'.!jn Jo? "pC?-*'-/, C.is-^>'. '•^'••nt,
LEPGtK B
254 :e9«U Oitict 3jl:Un5,
taahlr.iton C5, t). C.
MAIL
""""-- 1
Otro»iT»
o»Tr
BALANCE
e«L*SC( Bao^i.
MT ro.*..o : ..
1 2 20
^ AM26
5.6 2 3.0 3 •
4.10
7 5.,0 200.00 yo.H2
J(/ A*« 2/
5.3 1 3.1 I •
4222
1
iu A* 2y
5.2 7 0.7 9*
5 0.ii0
^U >A }C
5.2 2 0.7 ^B
^.00
800.00
/ S8'!.00
j{j xm }0
4.4 1 5 79»
Jtl JU. J
5.00079*
A^V.JS
10 0.00
:>c« AL 5
4.501.44*
i 8 2.00
1 77'?
>u JUL 7
4.4 1.6 V*
4 O.UO
jv ja /o
4.361 6'**
2fl50
■>o JUL /5
4.33339*
^ ' 1 „o
>0M t t
5.19 4 39*
4 5 0.00
.» a /J
•1.744 3V*
2 0a4
■i04b ? ».7.3
>C/ AiL /^
4.63 4 Ji*
ibh.oo
>(/ Jl /4
4.2 IS 33*
3.4
J^ .
"1.2 4 4 93*
■■77 1 ■ S •
4^7
30JU.27
5.4S7.4«»
3.39 8^0*
t9«^
iOJ«.2/
5.2 4 8^0*
HS.IO
yuMA t
5.135.10*
100.06
XItt, /
5.05 9.10*
«1*5
.>om; ;0
4.96 9.4 5*
3i;:i,1
U 44465
^' x)MJc r0
5.4 1 4.10*
1 1 .00
>OMt, 1^
5.38 5 96*
5.0 3 8 39*
1 7 50
*t.59
■5 6.2 9
4 t t.0
t:^^i^?:
Thc RiGCS NATtONAL Bank of Washington. D. C
150
4 9.80
J 0^0
108.49
7521
150.00
30.82
1 7.50
500.00
52.99
4 8.40
2 8.15
10JZ0
53.53
8.63
1 1.02
4 2.32
250.00
1 5.00
6 4.<1 1
'H^
948d
\6l^^
4 9.10
1.30 0.00
5.10
Hon Joe McCarthy, Speotai Account,
254 Senate Office 3uilUlnc,
tashlngton 25, D. C.
■AIL
LnnGr.R a
16.25
4 9.S4
7 5.00
7027
2 5.1 -i
ro.uo
8 6.07
35 4.92
k/ 2 7 =v
7b,l ■<
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iOUA It
30UJt, iS
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^/ H.f ;.
.^ *.r r;
i^bU»2«
4.8 6.7 1
4.7 9 6.5 1 •
4.67 1.83*
4.59 6.62*
4.39 6.62*
4.0 7 2.4 3*
3.51 7.6 7*
3.4 1 1.85*
3.39 4.35*
::.a9 4.3 5*
2.7? 5.6 5*
£.435.65*
2.38266*
i:.3 3 42 6*
£.•5 1 .5 b I »
Z.50.^.4I »
.44 y,^B»
:..44 t 2t)«
^.43d.i3*
. 3.^7 51^
c.C.'ifv'jS*
!.-•'> 7. U'«
l.vi" .'../to •
I. ' 1 /..t.i*
1.645.16*
25 9.09*
25399*
83 T.rff»
ThC RlGGS NATIONAL BANK OF WASHINGTON D C
151
Hon Joa 'IcCirthy, s'orltl Acco-.ir.t,
254 G«n»t« Orflco Dullirns.
■•shin^ton 25, C. C.
■AIL
10.0 3
10 8.43
4S.00
a-25
20 0.00
7 3.80
' 77.73
30.00
1 3.30
9 3.0
t 1^2
9 6.39
12 5.00
46.25
15 0.00
I 7.4 3
78^0
10.00
5.0O
1 4.6 3
1 P 9?
81 7^5
6.5.)
72^9
8 0.06
8.5 7
7.1 4
1 02
X^
MUCI 4
Liixii y It
827.t5»
,/
280.7(>
5 0.80
5.10
/ 2 8 8.00
^ por,on
K 1.07'j.OO
I 3.52
1 90
71J0OJ
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31 ILB 9
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71 8.7 r*
670.72 •
6 6 8.4 7 •
4 6 8.4 7 •
3 9 4.6 7 •
M f>14»
,-> n r ■> d •
4 7 1 . ^ •
4 5 8.2 5 •
43851 •
4 I 4.3 1 •
^Z\ M •
3 1 0.2^*
501.96»
3 7 6.96 •
3 50.7 1 •
«>?^ 71 •
4 7 5.7 1 •
1 7 752 •
1.2b2 t><: •
«.174.32«
1.1 1 3.52 •
1.10852 •
1.064.57»
1 ^( <:.■«■"•
24690*
■'" •" A" t
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?')n.4i •
2 1 8.3 5 •
204 76#
'. ♦
?7S.64»
The RiGgs national Bank of Washington D C
152
lion .'03 "--Cirfiy, C.^?-;lil Aisiar.l,
234 'onate Office BulMln?,
Bashlnjton 25, D. C-
I 1 JKJLH A
1 5.TI:'
1 2 S.00
MAIL
p ami It 122.99*
■^ 2 5.00 ^ )<MI2< t4 7^9*
t^c. VJO i ii Ktt It' 207.99*
20 7 70
.00 <
The Riggs national bask of wash ngton D C
153
BO. Jo««ph R. McCarthy . GpoiUl A/C. ,
tS4 S«nmt« Offle* Bldf..
teabtagtoD 25. 0. C.
LtDGl K \
154
Hon. Jostpb R. HoCarthy, Special A/C,
25* Sanat* Of flea Bid;.,
■aahlaston 25, 0. C.
DEPOSITS
2.50
5 5.00
mi
1 6.81 - ^tefe4 ^/l t*"^ /Uv. Vvrv-^ Cal ^
6.00
857
21.42
3 5.00
1 4 0.00
The Riggs national Bank of Washington. D C.
155
Exhibit No. 85
156
mtmmmKmmmm
^■.: I
dlw IKiiuir. Xnriiwal hlmh
■•■Q .U.\-.*.J1C
i^r. -v':
• ■=/-^
(»fciY
I'-ci- -Zf Axis.
arsas Mty, ..o4&»
3an i^raJ'cisco,. Col.
CldcagOj, IJllncifl
..as'ir.ct.ca, "3. C*
DeJlavaii, ..X8«
ctiic*ep. 111.
^'^''"ippieton. His.
CON ^0lronAeJ IXl.
CT.tinie, Ij_L.
Ci.'ar;;eon Bey, .i»»
.-asku^.'too, 0. C.
U. S, --of^y order
i-iCiUana fark, Txl.
H-.iiaueiphaa, ha.
Groat i>'aila, Uont.
0;<ia.-ic: a Ciiy^uaa,
!:cr.!>Et aa, .i. T.
■ CI-. .ijTicuu., loaho
ar el by Ute Sc*,C«l.
M* rieesaiit, .-rioh. •
"ra;io .lapide, ;.ich.
CT- lork City
t 00
^ uO
1 00
5 do
'' 00
5 00
?1do
■ "125* or-''
25.00'
iu.ruo.'
XO 00
lu go
i« ■ 00
lo ou
iu «^
2o 00
35 00
50 UO •
t> uO
;i5 .uo^
577 . 'JU-...
lA-.-*
157
• .vral . i.nt,...s.
;o3tAi ■or.e-y rlcr
Hart, -icftiE*"
^- gi, idalio
":■«.■ ^o.r. -iiy
..« .-J-.: ^'tr
Ej. -onus, -»^^'
lort Chc3-.'r. - ••
",anton, 'i^»
,T««> -A. :>»•
xrr >•*""? ,;'^'*
Z.50
^.«
l./J
5u.«J
3.0
jj. '>
1.'
:■ .
.abaci., "-''i-
'. .5. or.ry r.cr
_o:..icc_^,-r1.
Pak .ark. III.
Ct, /jvAc, -«•
CslJcosli.rtle.
ua:: . tJl'., 111.
Jinervtiif, •■>■■♦
attcwr, ..IS.
..ashir.cton, '^. C
icEerj-.., ill.
I.CB '-oi-i CI IT
■«-*ae fork, ;.-.cn.
Lj_i»»u;'«Oi "!••
:UirU'nnl, Com.
i-owTcrtj ■■)'•
rror.t .J>yal. ^»«
_iitra^:cr, .■!«•
. .clii ■- "••»
:«wrli '.lUJs.CailX-
rolxir>ii hi"
Ant'.«*, lUii.olt
.ar. Xr"irc ccO|CdJ.
-,.ii.Uj.^w<ij r. c.
X- ; rvon, -iO.
,„-ji;Oii-,
Ind.
i,Ti«r9vi^l», Xi».
,1,^.-55
M
V-
158
••AIL OKPoarT sciP • o€PO«rr«o wrm
trtjt i^iggs; .Rational ISanl
JOE
ZSii^SaDHmJifilca^^allii]^.
ACCOWT
». , my 18. 19^
SMOOJMMCl
Ot COUPONS
ir UGiSTBlB) MAIL
Aatloch. miixl| 2 oa
I
il
n
,... ..■■ 1
^ HrawK »fa* " ■■■«■—< « •» .W -.» •»» <*•>•• kx*
WV M 4M<>« •■ *• »«« «. >akM *• Sm*-* aaaMl ku«><i«
;:^ M M* "~» » "• «i — ' "« »» •• »-• *" *• r« "
M • k> Man^ HI Mil *• Aax**! nu ll HI »m « ■» m « it
^^ISllil fMM a^ •< ••D~'<«"* rill iitli "^ — taHi^iii
■ !»«» ________^.^_____-
»«T TO »-l •«!*»
Zl)t ^iqsi Rational ^smk
JOE igjl'i^fMlAl ACCOa.T
DAT. toy 20. 1950 ,a
cans
-1
UNOCUKKEKY
0«COUK)NS
ir uoisniuo man.
l>aSalle Nat«l,»
Bank, Shi oa^Otlil
\~i
1 og_
I:
4
.^^.
•• 1
13
TOTAL , 1 |0C
159
NAM--JQK Jik2S[£"^ndQkL ACOOW
Om->«.
git S— U Qff ioe Bmigge_
Iter 26. 19^ ,T
»ocunB«T
ot couroo
iTttGoraoMAa
Lo«.
OCOQ ,
.Qilragn, III
-Oa
10 00
10 00
OQ
00
Qowaan
Toad dxi HciWDil
-A.C O..H..,T .c*. . .«,^,«.^ ,^
***" — J'*^ If ;?^
iNOoovt A^4. CMrc««
rV ffrfff V^fM-^ •' ••*»
160
Ccnate Office ^*cildlnj ^
cwT, J'-'ie
12. 1950
<a
SfsO CuUFNCT
y eoujB
am
IT RtdiTUlD MAR,
CHfCuS
11
i!
iote
, As,
:^iicai;o» IIjU j,
. . r,c!c:-c." orcer
iirdr.rton, i)el«-
■.hica,:c_,Iil. _i?.
3 QQ__
1 00 '
ioj-«e —
5.1 00
<i; I 00
IT 00^
ll..au;:ee, .is., '
—
5,«y—
5. yu
5! 00
1000"
S 00
j
i
i
■•jja3 t 50
* •**■ llX*. "Om^oilT CLir . DCPOSITCO WITH
25li ;>en*b« Offl d* Bldg.__
r^„ June J9, 1?50 '" .^
SINO CUtttMOf
0« CCX*f>ONS
»r ttOSTUEO MAK
MUMS
Athens, t. . 1
KenHworth,
S«kn :<Afaelf
3alti;ore,I'
!%d±son, lia.
!»il7fau}i00,"is»'°
•*
C in c i rjmti , -li o
../^•4 •» MM. ■•« •
C/3
c
s ^
I.
HU
■»I4. Diro«<T acjr - 0«ro»IT«l» WITH
^I)e Kiggis Rational l^lanb
•( lNu%(iift«ii. S C
< ;;:U Sf^a te <">f flee BQiidin|'
o. ^ June jO, 19»J '
162
roir aup - ocroMMi wtrw J
-Aft 0«FO»(r M-ir - D«rO«ltao WITH
NAM « JlE ]iC (
SfNO^CUttWcf ~
0« COUPONS
•r UGISTOB) MAM.
u;j.c£f^,lJLl. *
Jtalar'.elphiA »
r./vrort, /.y. «
icotcQ i-Jj&lna/LijL. 21
Lo3 Ai.ccleSjCafilf. _5^
M-ii, c.
163
I
v^^'lOO
^ San p^ago»Ciaif> ID 00
3FECI1L ACCOWr
OtCOOKlNS
IT (K^STUtO MAa
o€cxi San
Vev York City , ,,
CM.cAgD, HI. i*
H^Lrose, lU. '. :i
ErvrettyWash. *
H^oston, TvxAa
Cklppew* Falls fin.**
CMca«o, 111. L
Elkhom, Wlj. •
Utjany, F. T. ^
Peatal Not*
Rtdgwrood, M.JlP
Baltir^re, Ud.,,
CllntonTlIl*, WK,
nmm Tort City "
Of^'^
10 00
10 00-
2 00
TOO
90 00-
50 00
2 00
500
1$ 00
2 00
500
12 00
500
500
100 00
50 00
1
■■ ^ UlUW II
' •«FjwiBr«m
it
I
251i 8*a* t« Offio> Hldg.
o> ^ s<pt. 9. :u?'5o ,^
SBCOJUtBCT
OtCOUKJNJ
IT ucanuDmAA
ChlcagoT^Il
Was 1 iir\^ton, D . C g
r!untlng lon,W.Vfc,
nuking, N. Il
licer.ali, »71b. *
n.-ral .irk IT,
Ctevcnr 7 .?int,"'R.B»
Cleveland, ^ Oliit
in'iiart, Ind.
164
NAM. JCETt^BffBiyijegai Aecow
2«ai Sanatc Office Bldg
a, » October 2. 19^0 ,-
SB«>CUnENCY
0» COUPONS
If tECISTiieo MAK
5 cai4C!are ,Tt .Y<
Everett, Wash. ■
24
1 MIUB
CMn
'25
• 2
00*'
00"
00^
-^2
-2 ! 00 '
-2 00^
r»i *)
verctt,
-1, 00"
-II 00"
-ll OO-'
:i' 88:
-1; 00
4
Jl 00-
LK\ntii iUUQuA ^i^iintt
« * • I.
25 X>
■;V^: 'r:4,Ci;,^rjl7.
- *»» ••w^'
: oc
, ENDORSE *«.!. CMfCKS IN THIS M4NNI*:
/, . «..-• V.mi.<.m/ Ri"*
105
MAM. OIMXrr H.ir - Otfl^HTKO MriTX
^lir UiQQsJ'^iitioniil
ul U'jklnnaion. D C
r.ank
166
MAIC DCrOMT Mjr • OirOltTSO WITM
^SSlii
,T<!^ jcPiRfeBtfj^
PSCIAJ-
2 5k Sen*t> Offlo< Blde^*-^ -'^'^
- January 19. 1951 ,»
Jipgleton, Vfl«»J'_
jMMndoiup.tii,
25 03
50 00
tOtAW _ 1,V$ '^'1
>»tf— <i* y MliM K iiMli r^ b4 b«Mf nxr*
ClTL M«, mTm im W IHHi ■■• <Mm» •! rtJX •• MM.
• ■ik«< »• 'In •k*>r I
lMI^<.<'t
li
I
HJUL BC»o*rr Mjr • Dcre«n«o wnx
2g U Senate Office 3ldg« '^^^'""-^^
^ ^ gabruary 1?, 1?$!
»ttCkam«T
otoouroM
nHoaiMBMAn
MUMS : cm
:
o«aa
Uta* *■*
•M>« taA *W M.
1
j
1
Ho<t5ton.Tex. A
rhlla ielphla a
Coronado J Cal if<«
1 ZLSa...
131 50
• W ImM* •^'ffi
•M^t iMftAvf alMt* kM* ■•t Mi «t Mf *•«• *»•■
ta«i f«rM««i. ifciaNi m aiati •• «^ •*« cmt ate ilk*
Mf «>« «M*tt ■• *« ft»^ «. ■■>■ ** iM*-| — — I
f*M«« IH •«»«* .»<«. a • iilllMlllll H *• iMft *H «M
taM«a •• iMMfaw *i Am* aMf iftMf* %i
«<* IMIM tM.
167
M
i:.' •Jiiiiil'.i -X.iliiiM.il <!'i.iiil;
/ ^ '.^ <f M . ^ t
Lo
N«a
A:-'.'nT
SBACUBMCr
o«ax*ONS
9<oa
l_'v>P_
10 J 00
25 'do
TO
\
cv-i:
168
s»ccutt&io[
01 COUPONS
•T ttOSTtUD MA*.
min»kde,«ia.>
Los Ar.<;«lo?,CaJtJLr
ll
h
H
If
WMi
M. a
ait;r fii90B National Bank
■( Su(|ta«Ira. •. CI.
MAINOfFia
for your pretedion mtion» •! cWlu ta dtf*d*4
II Mni
169
i)
l\
m MPAW HJ ■ HmHW u ws—
?t. -a
' Ivm *. ln;Tt. on . '.T. Ya
i^c'ji; 7, Ala. 1
xUnjtonJ Va. ^V{, 1D_
.''tCt " _
' <.« p««»*« .^ci^. ».«w4 « NM. WitfMT tim • ill kMA
. ■ ^^m^^^f- rM*»w«#4 k* *»»>«**«*• taw «
.- J
170
9.9.
A.
' '^^-*T^f**-| *fr-
iWHlMt"Wi T>i g
fmftm
mimmddmdkmjfmfi
a&SSSsBS.
'jesjsassami
— j aaea - r ms r
9iM<
SIM II. Wf.
<k«iAg«ai^. Mau
100
IJL
100
00
00
00
00
H.ntffi momf^tirKW- uxxxstt
fw 0»i, Z3. 19SI l».
3w 'l^ttB SfstfOtlU
lUtioiviJfctropolltW
Coral (kbiM. Fl«.
R«w lorlL Qitx:^
M oblU. Ala.
■>w T oark City
H— tiaeii MUh.
liwTork
Pi
-SflL
10
JA
10
MC-GT
^1=i
iSf,
:^4r
TOTAl
13k t^
00
JXL
06.
JCfi-
0S_
00
00
L
w^Jo* MeCr mr. li»«l>l
za 3<p«U Of flc« Hldg.
AddrvM.
n.«« D>e« k. 1?$!
171
.- «: '»'
■MO.
itt iMj»iiiiiuli<ii. O.tf-
u
)
J6 >3
WMi
M O.
dip SiQ^H Natimud San^
MAIN OfFICE
For yaw fiOttfem andorM
tv aManuo lua.
Art<l«d
28
Tulsa, Ohkl*hoia ' J 700
Lob *n£elMt.-.^!Ly.'_i 1 25| l~_
172
mtmisma
173
T«l» DC'OIir ACCl^TtO BV
MO.
uf ■LJl•hlll^tlln. P. tf.
row TMt cuiDiT or
SENATOR JOE IfcjCARTHT, SPECIAL ACCOIL,
25J4 S«naU Offio* Bld^.
Miqr 26, 1952
'J.S.\4onalr OrOar
■^carsiale, N. I.
-e? : 00
10 , 00
25 00
25 00
^ai-x^
MO
(if n.ikliinitliiii. 9.9.
ro» rut cncoiT or
SiJJAT-R JOE lIcCARTHY, SPECIAL
'A5C35iir
2!?l4 "'iJUTS^ OrFTCl BLX.
July 15 1?52 ^ ,.
-?<
>kA
rOTAL •
174
F
oil— »iii»itiH.i.y.
' MAIN CriCK
■tvtiiM KM or THtt ncmr
row THC ewcerr or
Jot KeC ^ rthy. Biminl •ft
»U*M «W tB«T «U ewfCJCS AaO BMFTt /W( I
trans. d«p. 7/17
I
T"
TOTOt t
*x.>> „52 ^
«
lOtM
a a.
— " ^^^^■■'^ yr^ .^^T^— »^tMMJ| M^^— ^.
l^iAi
175
M O
i>l tUuvliiitiiMii. D *£.
MAIN OF'rtCC
Cuhblncv . ^
COIN.
, . ,..^^.
ITEMS ir-vCn.tiiiS-nM- - f- 1-
ylUUyd^'^
24
TOTAl » I
it
176
'^ -tiatSch MXij\jjmt ■» »
^fWftWt
San Oiaeo* C«llf • •
. BrQok^jrn, 1 ■ T<
ni«aBijc» Arls. - ti
JUilflA-
TOTM
awT<» 70B lacisnir*,
10
2
421
00
OB .
- 00 2
«_
I
3C3
177
MO
i>f ■.■•liiiittliiit If
roM Tnc CKCOiT or
_Oci2b<T_3i 125^.
I
BrookljTij ll»w Tork
Pittabwrgh, P«. .
Lo« An^l«e, C«l. |
ArcaU, C»llf.
E4cevat«r, H.J. ;
■^ Tork 5^ ■- T, ,
Cr«nford^ ^^_Ji•
■•V Tork, Wwi Tork
VlehltA
5
_^-
5
5
50
100
__ 25_
J_
.00
00
QC
00
00
00
00
50
00
Hial*^ . riorldA
T«ir.a, Florida
a-.ic«€o, 111.
Appleton, Wis.
T&apa, florid*
Chicago, 111.
Waah'ngton, D.C.
Chicago, 111.
Chicago, 111.
Mev Tork , ll»w Tork
Chicago, 111.
Detroit, Mich.
Detroit, Mich.
Frldg^port, Conn.
?•*%• Tork, H.T.
RhlnrlanLlpr, Wis .
Hlghtstown, M.J.
Txma, Ariz Mia
Hlaad, Arizooa
heck HlU, 5. C.
Total
25.00
2.0C
5.00
3.00
2.00
50.00
10.00
25.00
5. CO
i.OO
5.00
10.00
10.00
2.P0
10.00
15.00
10.00
2.50
3.00
$516.50
MO
5lu' Kiuua Nafiimal iRniih
rot TMC y ton or
I-L:
r"*"- *••'"•
CuOOfNt
COi
•'»
MS;
M
J'e*T.,rlt .;l^-
178
Exhibit No. 86
rflSW#sa°n^SDnt£<>n»«;aRr»<«<?^^
Hon. Joatph R. UaCarthy.
SM S«n*t« 6fric« Bids.,
•Mhln«ton 25. 0. C.
VATT.
'%w.
I20.C0
l.CO
lOO.CC
* ^ f^ r ••,
1 >. '« .1. ,1
^2 3.^c
1 a.i ^
^.co
ZIDXC
*"■ cc c
lec..:'^
'• C i . . ,
70.00
ISiOO
95.05
4.7 1
63.20
57J9
4.44
36.78
50.00
454.50
«S.»2
91.09
200.00
11.25
50.85
250.00
80X0
50.00
134.40
77.40
5.00
287.00
50X0
150.00
45.77
t25.C0
£0.0
.95 Jv
200.0
50 0.00
^.25
22J0
4 0.41
76.90
50.00
54.05 162.15
30.00 223.20
'-1315 SC
r..»o«.t« UK-,
•AL*MCC
,o«w;a.v.v- ►^ '•
/: ' 1 .^ .
^1^ ^\y^^...^^^^
!.10.J.i
7. ',7. 1,..
7 3C.f-.;
Z' y
1.1 ■:.!.'•...
' r
1,Ci:4.5o
.' .■ ^
:.c.-7.'.,>.
1.•,^7.vc
t.iCC.7^
\ :
1 , C • 1 . V .■
1,C. 1.7>
1)
', 1 .7.
K^ 61 3.00 1 9«
1.944.79
.MN1418
1^44.74
'! J*M15«
1.156J9
^ j*i«15«
1.115.04
i JANI6W
1.078.26
; J*wi9«
t.028.26
i J«"20«
579.76
: J«21«
507.84
JAK2218
455.95
350.0 0«<M*t 22 «
805.95
1 J^231«
1/400^4 JAM2318
94 3*69
JAW26W
JAN26«
613.89-
JANJO'W
213.29
ftB 2^0
130.89
Kl.3«'0.7a fte 2i8
1.224.67
rcB S-tS
1.174.67
rcn 6 "8
725.70
rr!.' 6^'.
5o0.70
^'22-0,. ,^,M
i^m
;i "r-ie-v
4'>S,7S
■"•y-^uo
1 'J 0.75
.";-"
r^s.5
1^-1.00 3.38 K-»R 1W
1,1V8.88
HA« 2 48
1.156.17
' MAR 418
1.05927
MM 5^8
1.057.62
Tmi Rices National B*
or Washington D C
«
179
Hon. Joi«ph H. McCtrthy,
2)4 Santt* Offlct 81ds.,
ttihlnnton 25. D. C.
-.JAIL..
.-_i_f
•ALAMCI ••OUOMT POI
63.45
50.00
33.4 7
150.00
116.73
27.72
6.50
37.SD
10230
20X0
S9^3
tooxo
2».75
12.74
167.12
9.1 I
8222
iV
IS
5JI
470.00
10.00
150.00
1035
4.00
50.65
54.05
10.00
100.47
2 2.1 t
t 7.5
1.0
3.20
20X0
7.03
ISO.00
63.20
T
b3.20
t 0.00
100.00
5.25 22320
162.15
KAR ^8
h^7*a — a
1
j
«A« 9«
5V9.06 «
MAP lOW
446J6 «
y.. 11 «
414.89 •
-A" 15^8
253.89 «
-"■nis
137.16 •
^^ 116.73
•v-l7^g
253.89 •
.' 300.CO
•■«" 1c "to
553.0-. •
...o?2^8
526,17 •
-o26t^
474.47 *
■■ "C-i
43 6/: 2 «
)tM«31«
334.02 •
*« |«
314X2 <
/ 1,003 J8
*« IV
1.317.40 «
A« 2H
1.236.17 •
A« 548
1.031.14 •
y' 200.01
APW 518
1.20 I J» *
Af« 616
81220 «
»« 648
A« 718
WW, :
*«< eia
47455 «
Aim 918
473.50 <
A« 918
455X0 •
A«»1218
449A9 «
• 100.00
^770.00
V 7 3.7 4
«w 1 2 18
923.43 •
AW1318
913.43 «
A«i5M
763,43 «
APW1018
752.48 «
1,40 4.17 «
^ 661.69
■W194S
•PR JO"?
1,300.17 *
"•22 -.8
1.249.32 <
^p•26S8
1.033.12
■«i27'«8
1.C23.12
•
■^PC IP
^.2 2.65
•
Thc Rioos National Bank or Washinoton D. C.
180
Hon. Jossph n. KsCarfiy,
234 Senate Office Bid;.
•ashlngton 25. D.
Ma
x:
1 0.00
7.5
5.00
255
^m
1 o.co
4 0.4 1
22.30
74.7
63.20
S7JS
200X0
76.9
10040
sBS*
Z4M6
200X0
10X0
100.00
soxo
SOX
fOOXO
S9X0
600.00 »''
24.90
57.95
10.20
16.00
33.00
3 JO
10.70
22.11
1C0.0
150.00
5.C0
75.00
t 00.0
r r» /*
8320
76.15
300.C0
6C.C
1320
3.37
.50-^
''?.i9
'^2.71
1 0.7
so.as
tsoxo
54X5
162.1
laoo
iSG.c;
I
;cc.coi
.":!""..i
0»T»
•OlAMC*
— f
\
5
922 65
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4 6.30 Ib.i.Ov' «vO'"l
., If /.'
^.■J'-..17»
, 30.30
• r ' J
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The Riggs national Bank of Washington D C
192
iB*'
■m* Jaaavfe ll> laCarthy.
IM S«Wt« Offle* BldK..
«ubt*<t«a 2S. 0. C.
LtDGER A
■m.
^
_»,..-■
DEPOSITS
DATt
BALANC r
a*L*Nct B»oc>,
y-
•
IOOjOO
vyju' jO
1.02 1.58*
20000
wyvA.1 J
821.58*
95jft9
9 7j0»
tOAO
^, t.04 0.15
•
1.80 6.10*
1.74 9.04*
1.68 6.4 4*
9930
20^0
tOOX>0
90.00 200.00 150.00
190.00
1 9.00
1.01 1.60*
841.20*
722.20*
It 730
i .901
150.00
*yutT ;i
38 4.70*
383.90*
IOjOO
.y <.T M
37300*
^ 250.00
-yxl M
62 J flO*
9.1 «
«yos.i ;«
^1 Af,A*
25.92
..y vi ?v'
5«S.72*
4 1 90
.V Jtl 2»
S 4 6 B ? ♦
75.00
/".-. = ,
.y <.! ;»<
-yv..^'/
.1 7 1 o 2 •
1.07^3-**
16.91
.yjkl V5
1 .0 "S h 4 M •
5 0.a5
9 90
1 1.62
tfe.lO 2 4.3« ICJO
.y k\ ?o
1,00 7 f -i*
.< <•, M 7 .S •
The Rigcs national Bank of Washington D C
193
Ron. Joseph R. McCarthy.
254 Sanate Office nid-.,
■•shln;ton 23. 0. C.
■AIL
LEDGER B
21 b.^0
200.00
5 7.0 b
5 0.s;0
I57t)2
200.O0
1 (.lO.oC
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7.1.^'| ^
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2 0.00
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20 0.00
4.4 3
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2 4.9 1
5 7.06
6.02
4 5.3t.
15 0.00
4.00
7525
50.00
1.00
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6 2.7 1
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2 7 00
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5.0 4
2 1 7.4 fc
39>*M i» 28>*95«
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«yutc i ft-V^^I 3 4.05 ub
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.yoLt . 382.65*
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.-9 lie /? A'-^ ' 6-3» *-
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WASHINGTON D
C
^
194
Hon. Jososh a. KcCartV./,
2H Sanate Office Bid:;..
•aihlngton 25. 0. C.
MAIL
l.i JXrhK A
90.00
85SC
2 0.00
BALikNCl BPOUQ"
iM%
aoo.'io
57.00
5 4 } i
l«0.8l
1 1.38
50.00
2 3.00
9.15
7 5.00
8.5 5
200.00
2 9.06
6.00
10 0.00
to 0.00
7 4.7 6
2.051
750
14.36
4 4.00
3 3.00
21 620
1.00
10.00
217.46
2 4.00
"4 rr*1tk+r-
I fc t J . ^ l -^
}(J Mi tJ
3(J jtti tt)
}ij j»n IT
jit jAh '<*
M JM IS
30 JtH 20
iij jUi 26
>U J» 27
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30 jUi JO
30M* Jl
>u I to /
1.29 6.7 5 •
1.223.75*
J.21 4.b0»
68 9.59*
660.b3«
5 5 4.5 3 •
454.53»
379.77«
3 7 7.7 2 •
355.86*
580.86*
536.86*
503.86*
28 6.66*
2 7 6.66*
25 6.66*
205.81 *
The Riggs national bank of Washington. O. C
195
Hon. Jojoph n. i::"3rthy,
254 Sonite Offioo UIJ.^..
f ajhin :lon 2i, D. C.
LEDGER B
1
HAIL
CM, C^^
'^■'1
. 01 POSIT*
DATt
BALANCf
,..
■. 1 »•.". ;.
... r ,i.*««n :..
lUMM *
3ft«.Hl • ■
7 5.00
5 7.0t>
2 5.^0
" 5 0.00
^ 1.0 4 0.15
JOrUJ i
105.6 1 •
1.1 3«.90«
2 4.00
5.4 6
95.15 200.U0
X»rL8 7
81 9.75 •
81 429*
464.ii9»
15 0.00
5 0.«;o
7h )0
1 o.w c.
5.o0
2OO.0O
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39 4.2 9 •
3 1 7.3 *•
2 1 7.3 9 •
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^ 30 5.4 1 u
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1 .? T <". /. 1 •
5 7.06
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62.71
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7 5.00
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1 3 90
2 5.00
2 0.12
5 0.00
y 2 .1 3
.
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'..1240rt»
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6 3 0.07 •
>OtMR 77
6 2 8.02*
X/>«« 20
481.29*
yOotH it
472.64*
jOmff 2J
37264*
JV/14K ?i
36764*
1
3C;'^« ?/
57094*
J.UJ-
.) 'J II H 1
The RiGGS National Bank of Washington D. C?^ "' * l.357.ja»
196
■. Joieph R. ■aCarthy,
854 Senate Office Bid)?.,
•••hlnjton 25, 0. C.
LEDGER B
Ma
CMfCKS
OfPOScTS
DATE
BALANCE
B»i»NC. Bo:'^
.., ro...-. :...
J -jti i
1.33 7.0^* 2
/ SM'Iaj''
/-rt. 3
1.S37Ji» ■■
20 0.00
■ y -f K 6
1.4 3 7.0 4 ♦
5 7.06
.u -n 7
1.3 7 9 •<»,•
7.28
4e-)d 230D
>W «. K to
1.30 1 «<3»
2 0.0 7
2.00 2 7). I J
,/^rK ;c
1.00063*
3 2.2S
.';.-n /<;
9f-,R.3 8»
HI.30
2 1 7.4 b SO.OiO 4.1 ^
.V50
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^ 1 - ,') ^
^ U
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I.503C
6.0 '^ ;?o.-i'^
■. 1}
J 1 S ', •
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4 .3.00
,^ ^H u
H^Oc-b*
200.00
15.90
3.06 10.5'. ''t'^
y^jV 17
5«».3 3»
« 3.'o
>v-" ;.■
SH.I-^'.*
•^7 1 J .-, •
100^0
4i)0
torn 19
470.96*
lt«^0
xtnn
554.76«
75.00
ionvii
279.76*
¥ 500.00
30ltH2T
7 7 9.76 •
• 1.040,15
}Omi t
1.81 9.9 t#
216.20
4.37
>omi ?
1.999.34*
50.85
30>*1 2
1.548.49* •
5 7.06
X*-**! .?
1.491.43*
200.00
>0l«»» 4
1.291.43*
190.00
9 2.50
/ 50 0.00
3umx 5
1.59 1.4 3*
1.34893*
7 6 90
>oi*ki 6
1.27?.03»
200.00
xjf*l a
1.072.03*
2 0.00
15 0.00
i\j -wi 9
«»02.03«
1.301
)U ■^k} t C
^00.73*
The Riggs national Bank of
WASHINGTON 1
C
J
197
r
Boo. Joseph R.
■c earthy.
■^'^W
f
aS4 ScMt*
Orrioa B14«..
LEDGER A
f-
Bashtnctoo 25. 0. C.
MOL
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CHECKS
ocrosiT*
0*Tt
•Al-ANCC
B4LANCC BWOUOMT ro*W*»0 tJ-
1
aewT tf - _- -
»UU. f J» •
50.00
5.00
217.46
Xli^l It
62a.27»
10 0.00
2 5.00
XI mi li
50327*
9.2 9
3omi li
49398*
5.91
7.00
6.4 1
Mwtr /(
4 7 4.66*
7.65
2 8.6 7
)OMI 16
438.14*
2.00
2 3.56
yjHAI li
41 258*
4 1 1 58*
9'5°0°
3 0.00
iu "UT ; 9
372.08* 1
10.00
MJ-^1 If
362.08* '
2 9.8 a
3 8.2 7
x/«»r ^^
2 9 3.93* i
6.90
iomy li
28 7.03* ^
5.00
>^ 2 7 2.00
^li^^\
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7 5.00
X>MT ?5
4 7 9.05*
tOJt
MNMT Jf
458.72*
♦^ 1 3.00
x>i« ;
471.72*
SjOO
S^O
1.00
}OXN I
4 6 2.72*
•
•^ 1.040.15
Mjm 2
1302.87*
1.30 2 J7*
200.00
t^ 1.700.00
MIM 5
3.002.87*
MS2X5
55.64
9521 50X)0
ioim i
l.t 1 9.97*
200.00
MJUN 7
919.97*
flH
9.44
14.7" •'7.0fi
« 17.35 *
B04.37 *
1034
1 19.46
iOSM U
674J7*
7 4.78
18.82
2 4.86
iOM n
55591*
5.00
M m n
55091*
149.14
V mi i
40"^ 77 •
*/< 0.00
iO XH li
e07.77»
100.00
5 0.00
40.4 1 22.30
M xml9
59 5.06*
.53T
5" If.; /
^i^Ti^ •
The Ricgs national bank of Washington D C
198
Hon. Joseph R. UoCarthy.
254 Ssnste Office Bld^.,
•as!iln?ton 25, o. C.
Lr.DCl H A
CHECKS
DEPOSITS
DAir
BALANCE
e*L<>,cc Boout
200.00
16.00
39 1 28»
375.28»
7 4^8
3U XM H
30 t.00»
25.00
50.00
7 5.00
)J jM 19
15 1. 00*
75.00
5082
X) JM }0
4 5.1 8 •
/ 1.0 4 0.1 5
^ClM. 3
1.0H5.3S*
5 7.06
1 0.2 7
X/ ML 6
1.01 8 00*
725
14.60
5,10
5 0.00
5 0.00 ns^.-SG
jU jU. '6
I.010.75»
771 5y»
540.64
-
• 1.32S.on
^W JUL }
2.096.59*
■ 1.55595*
53.15
20 0.00
yj tL 11
1.302BO*
1020
t 126
lU jJl I!
\,?.'* 1.34»
10 0.00
1 0.00
■0 rt n
1.1 7 1 ?4*
»/ A? on
?0 M. 1 4
\.^^^^d*
20 0.U0
jl jJl /o
i.or, 3.3 4»
75.00
7 5.00
7 5.00
'ii «L iC
'5B^4»
54.04
162.15
^ «.l 72.00
iOJiLtS
n 3 4 <• 7 •
814.87*
1.38 6.8 7*
1.770.68*
54.05
5 4.04a
X>MA >
I.770.67»
200.00
20 0.00
^^ 1.040.1 5
iOUX. 1
2.810.82*
XittM. 4
2.4 10.82*
The Riggs national bank of Washington D C.
199
lion. Joasph R. McCarthy.
254 :;oi«te Offle* Bid*..
tlihlnttton Z5. 0. C.
LEDGER B
50.95
10.00
5 0.00
5 0,00
5 4.16
1 8.2 9
5.6 9
7690
3-2 5
10 0.00
50.75
1 7.08
1 1 9.25
5 0.00
1 9.00
5 5.00
6.0*
8.8 3
20 0.00
4a.i7
3.75
1 1 9.46
8 3.00
2 2.30
10 0.00
ii^
11 0.V.0
90.00
18.92
31 e.90
50.00
90.00
'2 1.?7'
5.10
5 O r,
790.00
5 0.00
2 6.01
550.52
200.00
1 1 9.4 6
.50
2 8.31
5 0.00
790.00
5 3.00
9.12
6.3 7 119.4 6
/ 10 0.00
^ 105.82
K 1.040.1 5
/ ' ■'.I
'1.04 0.15
MttK T
XIMX, to
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2.35 9.9 7 •
2.29».97»
2,079.a9»
2.0975**
1.974.97*
1.97I.72*
I.87I.72*
1.97 1.72*
1379Je«
3.021.59*
2.852J0*
2.780.30*
2.774.26*
2.965.43«
2.96 2.06*
2.4 6 7.90 •
2.265.44»
2.1 4 3.14*
2.1 40.1 4»
2.06591 •
2.00 7.5 3*
£.2 2 4.t>R*
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9I4JS*
499.7«* ,
1^1 7j01*
1.0*4.01*
1.02 9.71 *
97 9.77*
RiGGS NATIONAL Bank OF Washington. D. C**""' * \ •••'
MOCT 9 t5.99
200
Ren. Jotiph R. Uc^^arthy,
aM S«n*t« Offlo* BldK..
■•ablDfton n, D. C.
LEUGHK A
12
•' -^ """"?•• "y aty.3 2
juujU i.
■i.^h.S.f
1230
2 5.05
50 0.00
5 0.00
10.00
f IOU>0
I9w4«
72J2
34^9
92.00
900.00
10 0.00
4 9.50
90.00
to 0.00
5 7.9 9
5.15
10 0.00
100.00
50 0.00
1.50 0.00
20 0.00
5 3.00
5 0.00
900.00
10 0.00
10 0.00
4 7.2 7
100.00
1«2.15
5 0.8 5
4 9.5
7 6.90
5 3.00
5 0.00
5 6.00
4 5.00
5 0.00
• 2.2t
5 0.00
200.00
90.4
4 0.00
40 0.00
I 1 946
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•'83 7.46
/ 500.00
U^ \.540.00
^ 1 h 4 i •)
\ •^.38 5.00
l/lt.OOO.oO
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4 2 4.03*
924.03*
800.98*
500.98*
303.71 *
t t 1.49*
1.49*
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X>0Cr/7 '934.9««'
MOa 30 505.40*
iOtOt I 205.40*
.x/mm ; 113.40*
JO«U* /);>< 257.45
>*J<*yt J, 262.55*
X) OV 6 4*^ 8 6.95
>ONk* 7TK '13 6.45
•y *>» * rV.^ 265.35
t)/ *M n 1 1.0 7 6,6 5*
833.25*
6 8 5.2 6 ♦
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.y.<uV 13
.> «>k 2i
M *M 29
>*Ji*M 30
>0 *M 30
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X'Jic 5
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60 9.00*
2 6 4.00*
16 4.00*
1.5 4 9.00*
1.0 4 9.00*
9.5 4 9.00*
9.34 9.00*
9.2 9 6.00*
9.2 4 6.00*
L.b26t>4»
The Riggs National Bank of Washington D C
201
Hon. Joa*ph iT. frTarfVi
254 Senile Cfflcc Sldr..
■a3hln-;ton 25, D. C.
MIL
I I IX, I V H
CHI ( .S
2 5.10
lOO.W
t,2.?1
t I.JO
f^o.oo
1 723
2.00 0.00
1 7.4 9
5.00
31 9.8 7
5 0.00
6.12
38 9.01
24 7 55
12 7.45
300.00
3.4 3
3*^ ?2
10 0.-."^
360.0n
4.00
5.00
200.U0
2 5.00
4.50
5 0.00
50 0.00
170.60
20 0.00
5 3.0
5.00
25 0.00
2 5.00
1 3 63
1 5.00
62 2 9
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156 92
lOO.uO
5 0.U0
1 0.0
162.15
23 :»1
5 4.J5
2096
200^0
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t..4 3 0.1 4 •
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iOiJU. 19
MubC 10
X»ijLC 2/
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t.35o.4 3«
i.15 3.10»
6.03 9.61*
6.01 BJ8*
5.936.30*
5.6 1 6.4 3 •
A.t 7 9 8 7 •
4.5 5 2.4 2 •
4.5 3 7.0 4 •
4.5 3 3.6 1 •
The RiGGS Nation-
•l
>/ JAN J
4.1 8 7.6 9 • '
31 jth }
3.8 2 7.6 9 •
>l Mi i
3.62 7.6 9*
f
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3.60 2.6 9 •
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3.5 4 8.1 9 •
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3.0 7 7.5 9 •
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31 jm »
31 jm 9
4.4 7 5.5 9 •
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31 jm n
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4.2 1 7.5 9 •
3.8 1 0.6 7 •
3.6 3 5.6 7 •
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31 jm If
3.62 2.0 4*
3.60 7.0 4 •
31 jM 19
3.5 4 4.76*
i
31 Jti 21
3.4 4 4.7 6*
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31 jm iZ
3.6 1.6 8 •
1
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31 jUi ( 1
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i.3 7 9.1 4*
31 JtH 2*
3.3 6 9.1 4*
31 MM 26
.^,1 40.44*
)
1
31 JtH 2l>
31 Mt i>
3,1 16 53*
3.1 1 1.53*
L
F WASHINGTON (
3 C
'
A
202
Zi* 3*i.«t« Off Let BldK.
flaahtn^ton 23. D.
MIL
"▼^••OO 1 jij^}; :,ooi.3 3«
tlft.10 , ., j /' ic ? ..7m,-.. i»
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] \ iliiJitt 3.48M»»
I iniBU i.l 9 8.5 7*
I i/fta I J 3.1 8 8.7 7 •
I iniJBH 3.1 8 3.7 7 •
5 >/HjJ/i £.980.3a«
j i/ rm It c.79566»
' 3/ ru> /i C.74 y 9 1 •
ilH&lS c.75a93«
•^3 t . S O j>-f u ) t v- u.e7 0i<&i*
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9 6.6t I iimKZO 3.8 4 6.08*
ilftUli 3.7 4 6.0U»
•^327.55 iiMiii? -.073.b3»
}i •«« ^J ^.89 7 85*
5/ MAX ?6 L bZ3J)i>^
7?.49[C 5/s<'i??<5 2.ff9rff5«
iioAi^il £.777.85»
194.40
200.V/0
90.00
53.00
20 920
6.00
2 2 95
76.90
100.00
50.00
<S3.5«
9.S0
9.0 o
100.00
10 3.45
10.00
17 4.66
2 0.00
2 5.75
10.98
1 0.00
3 7.4 5
4 0.00
loses
13897
1 O.wC
200.00
272.51
5 3.00
62.71
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3i;.v.'
5&.00
t ^1 1
1 ,• "i,
SJ7
5.00
100.00
1. 179.78
72.4 9
100.00 2 0.00
The Riggs Natjonal Bank of- Washngton D C
203
Hon. Josoph R« UcCariny ,
\
Ll.lK.l R B
2^4 otnata Offtca Bids..
•••nln^ton 2). D. C.
MAIL
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720JB5* '
39 8.97«
3e8.9-»
z:.: J7»
2t0^6»
20<i>««
201.8^*
I46ii8*
;4.»5.. i
CC9.2
500.00
3J0
15.00
9.9C3.0 4
30.0
19.3 7
2 5.0
to.oc
«2'.0
ZOO
4.0
/^
4«40
iei.2«
7.71
12.1 I
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1027
1031
10 1.28
4071
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I 9 5.0
291.72"'
4.Sf
128.00
S.72
1.54
■^ 1 0.0
1.675,0
pu
' 804.3 8*
2.679 J a»
2.5 78.1 ©•
e.97Sj»»« ,
1
&4*f.94«
2;4»Tjt9*
£.740 J 8*
2.C073S*
The Riogs national Bank of Washington. D. C.
231
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lUfelnciM t>. D. C.
LLDGC* B
Ma
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t>iro»ir» 1 o*ti .
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25930
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2.301.09*
to^o
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2.2 ♦O*?*
«9
, iirf it
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7 0r..0P "^ VTFf*
29ft960»
1«t23
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? 478.3 7»
81.00
j/ori 4
2.347J7*
42.6 4
>/ IJL' 5
2.a0455«
7.5 C
; )/'" /;
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10126
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9«.2
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1.774.i»»
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. ■ T : '
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' ■ >;• ■. ;■
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S^iMi/
TMt RiCGs NATIONAL Sank of Washington D C
t
232
V I
««Mt« ottxm ttdf* *•«■ SM.
LEOCER A
S«v*MC« ••o^'a^'
OC POSITS
900.00
1.S2
12^0
30.0
49J00
19.4 9
t I 0.2 2 10693
101.2 8
22*5
«0.6 9
i7oVi
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.oc
299.00
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1,*^^ 50.0 0^
1 7,0 C
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il tf< fi
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it Mil
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StMiS
UMU
at mis
2.9C«.70*
2.924^0*
e.9MJ0*
2.9593 0#
f;»19J7«
t.«9«.72«
4,246.72*
4.14S.4 4»
4.122.4 9*
4.061.8 0*
4.278.80*
4.270.86*
4.1 30.2 5*
2.130.2 5**
2.114.25*
619.25*
70B.34*
627.61*
614.82*
2.235.84*
? 1 P5.ft4*
2 lf.2 95*
?.na.95*
?.01 1.67*
?.00ffi7*
1.536.67*
1.541.0 6*
M«4S9*
l.«09Jf«
1.970.9 ••
1.9913 4*
1.994.79*
THt RiuvV N*i.i-)f»4». B*-^* or WAM
233
U.0
7J0
5.0
30.4 5
4.0
1,787 5
1 1 .2 e
Z4 4T
76 1
C97
\
Ir. Ray Kl4r >k.i.
Seni'.o uffU's Bid-.. :
MIL
)/ )UiiS
1,554,73» »
5/ 1W.^<
TM B.73«
if miO
t.5l « 23»
vrr ^
t.506.2 3«
><'tfH 5
1.47*^ 7e»
>/f't-
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1, ■ t ■■ 1.
Z,£(.0 "**•
-. '. /;
f7?3^»
3.50
2.00
229.90
40.0
22.89
101.2 8
52.05
2 47.4 8
30.7 1
2243.1 C •
i/mi T
if w- 10
1.254.60*
777.22»
73722*
ifUkH 11
714.33»
VW »^
2.956.4 3«
M
?.' T.l ' •
2.792 59»
2 5f<)P
2.200.00
375.26 f i
10 00
15 2 8
1 6 1 .2 3
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5/4PR ^
4562 4 •
234
mi
f 00.0
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14.7 «
I0t2>
•MAta Ofrie« B14«.. Mm tM.
9
J"^
•-IIJOLR A
1
Mil.
/
CMICX.S
DEPOSITS
DATf.
aAL>Nce
...... . / 5/llU i
I.I 77.0 Ot^ Sim I
496^4* •
I.635.24*
2994 5
ZtZ.9*
3.79
23 J •
16.40
90X0
25^1
2.0
1.38
10126
40.00
CM 2
iJOO
7.5
2.0
7.4 5
14.76
103.9»
40.0
1.5 4
21 US
175.6
9U>0
15.0
7.11
>>C R>C. '.b NAI I'
235
. lay Kl«ra«*,
S«iwt« Offlos Bldf.. Rooa SM.
■uhlacton 23. D. C.
1 ( I > • i t: t< D
J—lZl-
— I< . l»
9JOO
45.75
18^3
UZOOjOO
UZOOJOO
2321
1.274^0
42.4 2
11.25
90.9 4
t0128
184.5 2
5.7 6
18.75
40.0
30.96
11.1 3
1.1
45.9C
57.0 7
31.3
B"0..^~i ra
TTStTT
ii xa I
, if M J
r it sm i
'i itJM 4
1.400.0 i>^ it X» 6
it XJHlO
il XHI3
Jtiutt
3.400i)ot>^
105.0 0'
it If. '?
5/ JUN tJ
it XM16
it xr\u
it JU\ tJ
.-y
229.1 1*
&«29.*l 1*
3.624.1 I*
3.578J««
3.5 75.1 5 •
9.5ft1.»2*
2.3t1.»2»
2.561.»2«
2.6 38.7 1»
1.2 64.7 1*
1.222.29*
1.2n.0 4«
'1.2 85.1 0»
t.l83jB2*
999J0«
:'i3.5 4»
l.a23.54»
I.4C4.79*
t.:f4.79*
Tmc Riggs national bank of \.Va«... '.'• .-. D c
236
■r. Ray Klaru*.
t*D«i« Offlo* Bld<.. Rooa 254,
fuhlagtM 33. D. C.
--m
LEDGER A
f
t5.00
1,1 C
8.86
1 C t .2 C
tOJI
10.72
2^4
US
1012*
291.95
43U8
29.19
40.0
101.28
8.10
1328
11.66
tO.I C
•jO.OC
7^.0 C
00.0
1 6 1 .2 3
7.5
3C.4C
Balancc 0«oua*«T
DCFK>SITS
foowMio ar
1 -^^.1.1 y^
.' ' -^
2.51 3.9 3» S
2.2?.6.«^»
■ - '
2.2C4.80*
5? JLJ. n
3.051. 4 2»
-•■f ,' V:
2.S30J-4»
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limit
UM.Z5
VJL/4
StJLi$
i/wc /
2.804.7C*
L794jB4«
2.77fA4«
2.770Jf*
2.4(9j04«
e.437jB9«
5/lllC 4
2.SC4ut2«
iiux. It
.?.32442*
52»X.2i
2.223.1 4»
a Aix; 2i
2.2 15.0 4 •
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2.20t.7e*
5?Sf? J
?.190.08»
5."
5.469.05*
S.I 60.0 5 •
M-^e.si*
'.ICP.-SI*
-
" "C-r.T t*
?.: .T ■5.1•
?7772r»
;
?1?A.^Z*
Tmc R'&Gb National Bank of Washington O C
237
■r. Ray Klcr^a},
Stntt* Offlct BldT.. rtooT 334.
ftthln^ten 2'j. l>. C.
MIL
■%9A^ '
-
93^0
17.75
1«.0«
629
^om
419 7
2.9 2
60.0
3366
154
3 8.0
81,00
4 0.0 c
c.t:
t4joe
9.4 7 I illHO 2.'5 8?74»
M7
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7150 Z'''*^
39.04
1012*
9.350.00 1JZ
>/0(l J
2.7?663»
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2.62«.(0*
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2.6 17.7 3 •
1 133.7 5^
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2,735>«8«
5/ OCT /I
V
V OCT />
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2 7C1 eo»
J.'^CI 6C«
55046*
t.1 454b«
■^K O
F wcr.'i •..-• .-, r'-
'
■
238
Exhibit No. 88
( rum oc»o«ir «ccc#tco av
f atmmMtutton.».it. ^
i
•na^M* ro coa»<f<»at «l »«i«t(e en nt
a (VI KM »<oi 9f (Ml* Ti(«cr
row TUX curoiT or /'"^
PltAliaKtjIHO *tl^ CMir^tAkl/ onaMSlIK <«l>OIIMP
■ T :: — : — r"~"~~^-"'"'~
COIN. -. . ^ A
; -i^ t
- f n ^ 7
cvOS »'o
*-) oo ^,.>
r
239
Exhibit No. 89
Joseph R. McCarthy-
Gain or Loss in the Sale of Securities, 19li3
Date of
Date of
Security
Purchase
Sale
Proceeds
Cost
Profit
100 Intl.
Gt.
Nor
6/52
5-lii-U2
3-I-I13
m, 599.95
»2, 250.00
»12,3li9.95
20 "
n
N
n
11/27/U2
3/*^U3
3,11U.93
1,031.25
2,083.68
25 "
It
It
It
.
9/21/U3
U,92li.89
1,275.00
3,6U9.89
10 "
nil
It
n
11/30/12
J
1,970.00
512.50
1,1457.50
8 "
N
n
It
'
1,575.92
Uio.oo
1,165.92
7 "
"
II
ti
12/3/U2
/
1,378.98
358.00
1,020.98
30 "
It
It
It
^
l2/23/\i.
U, 860.00
1,537.50
3,322.50
10 "
n
n
n
I2/22/I42
'
1,620»00
562.50
1,057.50
2 "
H
It
It
'
32U.OO
110.00
2114.00
15 "
n
It
n
12/20/U2
2,130.00
862.50
1,567.50
6 "
It
n
n
-
972.00
337.50
63L.50
5 "
M
It
B
810.00
275.00
535.00
Uo "
R
*
n
12/2ii/U2
6,U80,00
2,200.00
li,280.00
1x2 "
n
It
N
12/30/U3
6,80U.OO
2,290.00
l4,5iii.oo
20 Ctot.
RR
Of Ha.5/U5
3/9/I13
12/31/U3
7,3liO.OO
U,631.25
2,706.75
% 59,20U.67 $l8,61i3.00
$ UO, 561.67
240
Exhibit No. 90
Joseph R. neCurtisj
Funds Received From Wayne, Hunner & Coapany
Chicago. Illinois
In 19lJi.
W
Date
Cherged to
Account
5/3/Ui
V22M
3/2q/Ui
inount
3/1/U*
1 500.00
3/25/Ui
500.00
Ij/lO/Ui
5/l/Ui
500.00
500.00
5/3M
U,O20.55
5/12M
1?6.55
•
603. I45
5/2VU4
1,000.00
5/27M
6/6M
1,000.00
2,000.00
6/7/a
3,000.00
6/28yU
7/6/Ui
2,500.00
1,800.M
7/ioM
5,500,00
7/lVUi
1,000.00
«/
3,000.00
8/7M
200.00
8/ioM
500,00
lD/6/Ui
653.00
e 28,978.55
U,100.00
500.00
5,000.00
500.00
DispoBltion Undetennined
GoTemment Bonds
Deposited in Citizens State Bank, Shawano, Wis.
I lj6,078.55
241
Exhibit
No. 91
Joseph R. hVcCarthy - Loan Account - Appleton State
Bank
C r
edits
Date
Debits
Source
Determined
Source
Undetermined
Balance
2-13-U5
$ 1,800.00
1
%
%
7-13-15
50,086.65
7-l8-li5
23,876.U7
75,763.12
8-11-U5
3,61*li.23
8-21-I45
5,750.00
8-30-15
827.36
9- 5-U5
787.37
6U,751*.l6
10-11-15
1,698,92
66,153.08
12-17-15
U3,523.1*l*
12-21-15
2,000.00
20,929 .6U
_/
565.00
20,36 1*.6U
u
11*9,176.06
169,51*0.70
12-26-15
.70
12-28-15
713.80
% 226,65B.W
1 U7,13B.17
% 10,673.73
1 168,826,20
B*l*nce
* 168,826.20
»
%
1
2-ll-lj6
1,000.00
3-27-lv5
202.83
170,029.03
U-3-I16
5,390.97
J
2,715.21
U- U-146
5,31*1.09
l;-8-l46
5,3lA.09
U-11-1I6
2,720,27
U-12-1^
2,695.3i*
U-lS-lj6
13,290.58
_/
2,720.27
129,781*.21
U-17-l<6
5,000.00
12U,78U.21
U-29-U6
2,620*52
5-1-1*6
2,615.1^
5- 2-li6
2,695.3U
5- 3-U6
5,51*0.58
5- 7-1*6
5,1*90.67
5-13-U6
5,71*0.07
100,051.57
5-23-lj6
562.5U
J
1,868.38
7-20-lj6
9,000.00
8-23-1*6
1,000.00
8-27-1*6
2,675.65
8-30-1*6
2.500.00
1,500.00
9- 3-1*6
3,500.00
77,1*1*5.00
9- 9-1*6
3,175.32
9-IO-U6
l,67U.9l*
9-11-1*6
9-21-i*6
3,300.25
791*. 1*9
68,500.00
I2-I3-I16
1170,029.03
LU.6UU.66
i B7!772.63
i 2B.Wi.06
* 53,B55.31*
242
Data
Balance
U-25-U7
S-12-U7
10- l-hl
Balance
1- 3-W
11-13-U8
Balance
1- 3-li9
12-31-U9
Kiy to
Deo.incluaiTa
Balance
1-6-50
1-11-50
1-12-50
1-26-50
11-27-50
J
12-Ui-50
Balance
2- 6-51
5-25-51
6-27-51
7-17-51
8- 1-51
9-li*-5l
Exhibit No. 91'A
Credits
Debita
I 53,855.3U
6U.01
Source
Detemlned
Source
Undetaniined
$ 60,1*97.00
% 00.1497.00 %
% 51,3149.38
% 51t3l49.3B
I l48,762.U
1,000,00
6,905.15
l>2lt2,U3
?'ll47.62
1,312 .50
6.39
l4l6.50
262.50
I4I2.81
38,68
137.89
» 2,^87.^7 i
% 14B.762.U
762.U
1,000.00
1,000.00
82.86
917.114
145,000.00
I UB;762.U
Balanea
11*9.29
826.10
\
53,915.35
1 li*5.25
f
826.1S
« 52.9U.56
%
52,910.96
20,000.00
1
12.ia16.96
1
% 52,9143.96
72,9143.96
1-
72.5U3.56
% 12.ii5.56
\
-
i 6d.l45?.M
% 51.3l45.3B
% 148,762.11
i -
l-2S-^2
I 12,000.00
% 12,000.00
243
244
245
ExHiHiT No. S>4
NoTember ?8, I9U7
Senator Jostph B. MoCarthjr
Senatt Offlo« Building
Washington, D. C.
Dear 3pi>atort 1
I am again compellad to write you with refrrenca
to your $^3, 000. loan whloh Is held by the bank, eeourrd by
oollataral. iou no doubt are familiar with ;he -^uotntlong on
this collateral and that the margin la under ^C$, which you
will reoall, w^a the margin agreed upon when ve made the loan.
The Dlreotore haTe euggeeted that I tn>te etepe
to eell the oollaleral and pay the loan, but before faking
•uoh etepe, I thought bpoauae of past relatlonahlpe I vould
write you flret an1 eee If thrre vere any eutrp^ptl'^ne you
sight have, if you could arrange to h-ive thle lo .n reduced
by between $15,000. and J^'O.OOO, I aa 'iJlte eure I c-uld
oonvlnoe tne dlr^^ctore to continue to cnrry ihp loan. I thought
poeelbly vlth yur contact* It night be roeelble for you to
Bake such arrangeitente. In the- event that the r-irtlee you
Bight be In a poaltl-n to dlscaee this matter with, haven't
the re^dy c.nah they might have collateral and I c^uld aiake
a separate note secured by euch collnternl and on thle
particular note you probably coul'5 arrange to pay between
$200, and $300. a ocnth. The bftlnnce which you voul'l ptlll
be owing us could be left Intact for the tln-e being. It rrlpht
be possible to Rcoept yo\.r note for $15,0'^0. or fC.OOO. If
•Ajne WRS endorsed by a party fjrnlshlnp ue with a financial
statement whl->h woul ! subetant Ifi te tne endorseir.ent.
I ait golnp to ASA you ns a per eonal fnvor to
adTlee ae ae soon as poselble, «« I aa r»nlly on the °pot.
Vilth kind personal regards, I aa
Yourp vrry truly
President
NASlH
246
Exhibit No. 95
Jr.nury '4, 1949
-.fii'LDr Jo.= e:'ii '^. . o'^artiiy
'-r>;i''tn Office -ulldlng
■ = .--..inrt-.n P5, iJ. C.
> • ■ r J o <
Juet to brlnr^ yoj up to d-^te en your ICTne. ^he
.'.r.jnr el note hr>B been ch reed off our books at the c"lrectlon
of th»» --'nXlnp? -'epartir.pnt. Ih? balance ~ue on thlg note after
foductlng the -il.OOG. eaboard (ilvlden--?, I3 :G,55"?.lU. '^hen
the 7C0 shnres of C ntrp] '^f ^"^eorpl,-; comrr.on etock le sold, it
le cur lrit(^ntlon to .irt^iy the oroceeds to the «runiel note.
Zne price on this stock h:'fi b^en b-t'-een 6-3/4- and 7« -^f «•
ore succeesfjl In selling at 7 this will brinf? -^rrroxi.xately
;*U,90t:.00 Tni there vill then be ." balance of approximately
»j.,oOC. then lue on the '^runoel note.
Tap. nrtount d'.ie on the other two notes le v5?,9^3.96
ru.Q there not^s e.re pec ;red as follows:
5 c irity pl.Tced .n? collateral by l*-r. Klerm.«r:
iCC sh -(vaboard l,77«i.CO
7C0C.:ent. of Sa. j>se of 59 U9G.OO
10000. Cent, of CJa, ^e of 59 65c. 00
50 Bh Hecla 61?. 50
JLOO 8h 3urroU(jh« l.^s'J.OO
3CG 6h Jerber^s h^PJ^.OO
5)0 ah General Finance 30O.OO
>*ortn«pe 3, goo, 00
■iaTln.Tis Account 10,000.00
Seorltrlee which ^re ovned by youj
ISOO sh ■-: eaboard 26,625.00
450 9h " " 6,750.00
Cftsh 4?,Ui
Total 561869^93
^
'^-C','-:>f»K,.'
247
JnnuHry U, igUq
Ho 'nrt^y ?,
'<lth both your coHntnral nnrt thnt of R«y Ki«rmft«
t^.e T.^rpln 1p only 7*1 so you can see that eoaethlng will
h"ve to be ^one lmra»dlat*ly with reference to bolstering
t is coll'.erni or pnylng the loans,
I vas In Chlcarro .ind dlsouesed with the Continental
thp iTi'^tter of hnndllnf^ the oomn'Odlty account as oollateral.
Tills belnp n m'-rglnnl r.^^crunt, they say there la no way In
vhlch thle cnnnbe h- ndled r.p coll-^ieral -^nd they doubt very
mjch if even coTiraleelon ^-roknra would recoj^nlre an neslgninent
on such an n^-count, for the r'^^B">n thnt If the mftrXet would
dx jr rnrltUy ti.fty wouJo only be able to protect their own
Inl-reet, 1 hope you will le ;iblf^ to arrange eomethlng
within t.'-i? next few nays, =0 ve won't be obllped to oell the
c-Til ter,-l,
"j th Aind regar<\8, I nm
ifour*> very truly
Preeldent
Hi. . ; H
248
Exhibit No. 96
,.1,.N
8«ptMb«r 29. 19*^
Sanator Jeiaph R. MoCarthjr
o/o Hotal AppXeton
Aprltton, viBoosaio
Ovar Joai
Last weak wa vara flnlahtkl with an examination by
tha Btata I^apnrtaant and they placed jrour note anAorsr-d by
Ruaaall Arundal on tha objeetlonable llet, m>>anlng that
we either muat gat the note paid within the next ten daya
or obarge It off. Of oouree, when It oonea to charging; It
off, it would aean imaadlataly handing It out for ooll»ctlon.
Thay were vary such Inalatant thnt we take the
$10,000.00 aavlnge acoount of Kay Kiermna on payaent of the
nota. I as lust giving you this so you can see that thle
neada your Inaadlata attention.
Vlth kind regards, I aa
Xoura very truly
President
MSil
249
Exhibit No. 97
JanuAry 19, 19*9
senator Jo-tph R. noCartlijf
senate Offioe oulldlng
' cs.Tington .?5, 0. C,
'■9'^r Joei
In reply to yrur letter of January ir>th, Xh»
nl.' v»y In w'-ilcJi v^ o^uld gl»p you credit fT the r->n«»
■ iilrh If h-l.-^ for future Int^reat la to endorae It oa th«
f^rlnclpnl of fie note and raduoa the tmnunt of the
Ind^btedneee. '•>e o«n very ^aelly cut the p^rcenf^ga by
; '• Ing t'le '.IC.OOO.CC in Ray 'a aavlnpf "ocnunt ^nd endoralac
It on the note. Ifru probably c^uld dltoune thlr with Hay
.1' yoj could then p=.y hlu the Intrraat Inatead of tha
• inX, In re-figuring your ooll'»iep«l this inrnln^ 'ind
nlv n • yn. th? tcn-*flt cf th.- offer<»d nrlca, the t^rirln
1- l'':t Plus.
I '-ir.'z .t-.ow Ju-t hr)> f "-xrvf" Ty«elf with
ref^r^noe co your lorji, *>ut fj^ b/ink exr<nlner» were very
Inslftent vnaa tney dlaouiaed the loan with the .^Ir^ctora.
tait this margin ba Increased to 20% and hald tnera nt all
tlitea, or they w<*re to h.'^ve the lo«n p'»ld In f"ll. It would
neeffl to aa thxt you should go to soaa friend of yours And
try to convince him that If you ever needed any help
financi«ily, this would be the time thTt it woul-". ba
nrpreclfltai. This loon la out of Ty control now, "nrt 'ro«
Mere la I oan only take orders.
I will expeot to hear aoaethlng very definite
froB you vllM.n the - -xt ''ly t '••o.
'■1th kind rafprda, I aa
Yours very truly
Prefiidant
MAStn
250
Exhibit No. 97A
Jkvomxj 25t 19it9
Ur. lUtt Schub,
President,
AppletOR Stat* Bank,
Apple toDf m.sconsin
D««: Uatts
Just recelTod your letter In regard to ^ aceomt*
I can fully appreciate your position that tha
■argln aost be kept up to iOf. I aa, therefore* arrto(lng
to either get caab or additional collateral ao ae to faring
it above that figure. Howerer, I aa leering today to go
to Kaneas Ci^ to speak to the Lumber Dealers' issodatloa,
and on cy vajr back have to apeak at Toledo, Chlo. This
■oana I '■ill not get back to Washington until either aoaetlas
Saturday or Sunday.
I mnder, therefore, if it will be agreeable to
you that I get this out to you not later than Monday. If
thl* la a^TeeablOf no anea«r will be neceasary. Ho»ef«r,
If you Hist hare the additional collateral before that tlM«
Matt, than I wish you would call Krs. Baspton in ^r of flee
and ahe will get in touch with m.
QhtU Z ■•• you — good lack*
yourSf
P. S. 1^ uleera arm
IteCMiam
251
Exhibit No. 97B
rebniary H, 1949
Senator Joavph R. HcCartby
Stnatc Office Building
Washington, D. C.
Dear Senator,
With further reference to our telerhone cniiTTfi.-'tlon
cff yesterday, the total aeount of oollnfrnl iecurlnf y^ur
notes (Inoludlng the collateral depoelte' by Hty Kl.Ti'a)
afflounta to 5'>6, ?57«00. The totnl amount "lue on y^jr n"te«
li 152,9^4.00. In order to bring your collnteral u- to «
20,'t margin It Is necessary that you derorlt an ^ddltlonnl
#7300.00.
Trusting you vlll be nblf to at' Just this mttT
not later than next Tuesday, we nre.
Yours vry truly.
President
MA3 :K'.
.^ine ?, I9U9
Sennt r Joseph K. !'oCarthy
5ai:rt<» Office '^sliding
'.'•shlnrton ?5, ". C.
2 ear Joe;
In checking your collTternl thle aornlng 1 find
tlvt the T!ilu» tot... Is ;6l,4?3.31 and the notes hflil by the
'■an>, ..)t 1 t5^'»} '♦.!;7» *^roai th se fli^jrca you cin fli-ure
•> 1 f.e ..-.rgin, ' hlc!: is ;iov nl ■ j ulnt wii' re unlesa
' )riet:\ln/] lu ion» itii<;clately v.e '.'111 h.-'ve to offer the
- ' ■- ' for f: 1*,
iii.a.
ce h«»ir from you -t once.
i'oura very truly
TcelutiAt
253
Exhibit No. 98A
^'
ss^.'js^— :=r;==js. Qicdfa^ ,l»ta<— >A m M4<
J«M h, 19ii9
Mr. liaU ftcluA
Applcton, WlsoottfBlB
Dmt MbUi
I hkT« Jwt x*o«tTwJ 7w» l«*t«r rf J«M a«
I not* th*t U» BOU. l»ld ^ th. b«k MT. f«y.»>?Wl rf tgy.OOO
•nd «»• ooii»t«i 161.000. i« r>« to«"f «»>g»«^ 'r;^r*r **•
not* open irtUch I h«» bMB p«yli»« lao P* J-f • ^ iS^n.^
Able tTlontUw pnylac »t l*»»t thrt auh wtii tM* obll^tla*
I vondn-. Wktt, if flDdw til* «lroqii»ti«>*« 1* w»«M *>• ^ __
t* h«. thi* nit* . •hioh I b.ll.T* rtlll t»t1. -YT' r?**^^ /
tr>Mf«rT«l to ooi of ti»* oti-r b..k. wltboct ooll*t«*l la Yt« ^
of th* vmpmA* Wifl. -d;jth«r*». this, o'^^TT*''^ ^
rat «a ISSoy "i**^ of K* «» tto* b*l«ii**, brt 1 o«» aato ««•
I too. It 1. Midof * h*n of • i«t «f y^,^,*7^,.,.. z„ _
«d if 7W <« PO.^Kly *«* thl* ■* - to r»T* tl.* 16 ,000 ««W
ft«i tiw ohli^tlaB, it wmld aM* th* .ituatlm ti '■'"^■i^ i,
S«iio. pollay -«l»-d to it •• c«n*t*r*l i« ojj. I *«^«^
STsi^t*, tM* obll^ti« «t »K» p« ■oBta^wU b» <**• ««•
of b^on tlw wd of tM* t«>m.
fc.. te. it. iteu, «»«'t j«t j-dA " ^ ' ?:t SS2 !^J£f
kno* hw I *»U b* »hl* to r.t«x tb* '■**' r2;«1.22t Z
{tat boiMrttUy)
H^,^ I y*** iieiBiBi
254
Exhibit No. 98B
Stptember ?C, 19H9
••alitor Joseph A. H«Cartb)r
'«>a0hlncton ?5, 0, C,
^•ar Jo«i
Wt haT* Ju«t b««n «XAirlned by Che F«d«r>tl Derofllt
InaurAnot Corpomtlon and th« riu«atlon of your Iw.n r<>09lvi><l
oonatdarable attention and oritlol^a, Th** ^xarlnert oannot
understand how, in tIcw of prevloue demands nnde bj thi>ffl nnd
the State Banking •^epartaent that your loan be reduced, th.->.t I
have taken no ."Stlon, They told ne In no uncertain t°ms that
dlreetloae of bank exaalners are not to be dlera/^nrded and -^njr
further delajre In shaping up this loan, it vili be itXtn - ut
of agr hands. They *e9a now to point their Kuns isore at ae thin
at the loan and hare aade it a Very unootnf'^rtnbl« situntt'^n for
. ae. The/ have bluntly told ne th»t a« in official of th** b'nk,
I bad 00 ri^t to let oi^rsonal feelings ent*r into thip loan.
and they >foalii be ooapellisd to oonslder that I im h-^n^llnt* this
loaa a« a pereooAl aattar, and that I ais f .ilinc; in ny duty ae
an offloial of this bmk. They nsk that aup- leroentary to their
report, I writn then shortly on what has been done in making
this loan ooaply vith their demande.
TIm7 epcoifloally direot ae to tee that the loan ie
reduead rather than obtain additional ooll.iteral. they called
attantioa to tbe f«ot that in the past we took on a'lditlonal
oollataral and on praotioally all ocoaslone the oollater-il
iaaedlataly dropped in value. Tbey Inn en ted that they would
not be eatlafiad with additional oollateral and insiated on
prompt and aaterial reduetion of the loan.
Beoaua* it ie neoeeoary and litrfratiTe that I report
very shortly aa Preaidant of th*- bank on what action I hav*
taken, plaaaa glva this your immediate attention, thus not only
proteetinc ■• but the bank froa further serioue orltlclsa.
with kind refcarda.
NAtll
Xour^ very truly
I>r*eiOeat
255
Exhibit No. 98C
Novsmber "»*), 19'^9
Sen*^. if^r Joecr'h H. "oCnrthy
Senaie Offioe BollUng
• nE.hlnr'ton ?^, ^. C.
Dear Joe:
v»lll you kindly ri»f»r tn our l^ltT f "•r" •nh<-r ^Oth
In vhlch vm 8tite<l th.nt we hi\<i Just be^n ^xni^ln^d hv the Teilenl
Deposit Ineurtnoe "brporatlon ind fiBt your lo-n" *'«re «**"r<'ly
orltioleed at that tlae, nnrt In thit letter I pet ur the
conditions unier vhlch these lonn* w^re t"^ be hTiK'led.
Over two months hsve now reaped since the vrlting of
thst letter and the Oireotors h<»ve now given me in outrlcht or >r
to the effect that unl»ee your lo-«ne ire r'-'^ld \n t'Ml on o»
before '"-ecember 1, I'^Uo, I nan to lirmediiteiv contAot " ;ne Hunr r
4 Cb. -^nd plf*©* an orde- with then to c^ii out your c-^ll ter-'l.
If the proceeds of this sale nr« not S'lfflotent to pny t'le ^o-'ns,
then I air. to Imiredlitely use such portion of ^ny "lerims* coll ter-'l
ns Is neo^ssnry to pay your lonns In their entirety. '^hTefore,
will you get In touch with Hny ,tt once '\nd AdTlf>e hlni '<' to the
contents of this letter eo he will know definitely tvit • e will
be selllnp his coll^ternl.
At today's lorirket It nopeare that your coll.itenil wuld
V-.rlng »'*6,?75.06 against Indebtedness of $5^, 908. 00 'ir lti»wtf.ed
below, leaving a deficiency of ^1?, 632.9'*» which we vlll hTve to
realize fma Kay'e collateral,
I na sorry that this has coae nbout, but It Is now
aeflnltely out of my hands and I have no alte^n.-^tlve but to do a
I nt. dlre<rt«4. I eight add that no telephone call?, telegrana or
letters will bring about any axtcnslon of these loans.
With Kind regards, I as
Mot* 5', 9^3.96
iBt" eat to I2/IA9 nW.^?^
Mota 5,»*60.6jP
Interest .to 12/1/49 n3?*5t
Xours very truly
Prealdaot
256
Exhibit No. 98D
■%'i
J'»>nuary y\ i950
Son- M k>i-ric« BuUiflag
I nnkt*«4 by tii<» IT- rX^X y(««»t#r»:iiy th/it. tiio ~---'>*rariS
AlrllM «ftook hlflh v!i» (»?-.l/«. 1 «ill<i4 Bill Uvlor -nJ *ikt<ll
h&a «rt.y th» ateok vAsn't ••H tiw! h«« t«il,<* f*« %h"t h» h: « nn
or«»r not t« evil thi» ?€»«b^r* »tc«ek onttl i^ft-r th* :.-im f^rr.
ttv^X Mr MUMMT 4 «Mk »#« '«t« '9tlHMt»M »n<* thi» bntikknc
ri jn it WBt im'mmm-%» W^<l'( wJl «f t>^t« ^tsev T-.r/ h'*!*
fu»]r*« •'<HM|Mi iMJi^iiiil •» •Mm uf th« <i«nclMHgr. I tf^k*
!• JL^** ^■^fflaWH*"* •*••«• t«*» 9Tnt^ xh^n f-iiir- t^--
^■ami* fM fMi^llpl 'fMI UttiHf th» ren of th- lo^a -It,
Z «UW •#.«»fM-iM|-49l. «»''t 1^» •nUt tHlnr for n* t«
«« If WjMimi t».«W^ •»i •t %»»• e»XlT--r^l »ut -tr"
Xour* v# •}• truly
257
Exhibit No. 98E
t y
• . J II n •» 3
r.t'li'l t*
., "ir Ir-n •.•.h»'.l th v 'O'l ' Voo!; \r Ih r *.r»-l
■-^r.-: to " y >• -t la ng '>': in t" 1- t nl v.t*"
-JO tVir. • '^..i-- clO"(lA rt 27' • ::" ir t 1- -VonJc
ooMl •• -ftl'' r ?7^ jfv- •cml'' -voll-r ':',?50.00 • ' \f
th* '♦n**-0 »r r \r> r.too^. Ml' 'lo- "• 1' rt m1 • t
't :.. 1^ '- "ol' t t "t rlo*» yo'« 'r.■^\^ r-nll-t
■'?.■'- />»'*0. ''""ilx •-> ft -"I "-'It* t**.!*";h vVl. * .• h/<v» on
"■"-Qj' fr;:- '.h- '»,->l. of.^'o r" rf B 01 •'en' utoo"; oT '1?.^1
■■•-vil'' -i"** ;'A'i r tot"! of jO.'^ir.'n.. Vpr t.>»0 OtPf Of
I'. 1 o»«r lnt#i#tlon to nl o" 'n oj ^t t« "'11 r->» "•
"toe":' * r*'nn '■' f^f ' ''o-r^ i "no « r7", or '«"'t»r. i.",
r^'t • ly : non . /o" '^o not, f> -r to Vi v>» t' "ir flt^p^f r'ol(?,
f •-■- o* "^ -f^. 1 » 'ntr will h vn ti '"* '"'• * to o^ntt-.ua to
c iry t .• lo in. If t^ "* xtooKi" r^ rcb t*\i* ->rloe» -.rnf.on#«
oboT n' 'o not - -r ron yo<i "-Ithln tn- n«:-t t r- e '»/«,
•r r 11 TOOfft^ Id O'lt^ln ^ "liOV-,
I -Wn't ■-•nt to c-11 yoi ^^ "ion- ^ It Ir r'tty
■ r-" f^ T-» 'ii /oil, •^.ut If iVA want f- "'t. In tnu^h with at
/oil on C"ll »•, It 1-1 A«l> r for yow to ri-.oh ■..• by «n-,
Vti Mp' t
r«"B. I
^
Xo'irr T*ry Va^ily
rrral'Mt
258
Exhibit No. 99
8«pt. Ik, 1951
Sanwtor Jot. B. No C*rthy
senate Orfle* Building
Washington, D. 0.
Dear Jo«t
W« hav* tod*/ rto«lT«d the oheev. fron V«- n« Hugaer &
Cft, for 160,577.16 being 'n paynent for the proceeds of sale
of the 1000 ehnrea of Seaboard Air Line Railroad Ptock. «
• X
W# hare paid your note for 4M»f 0*^.00 torefcher with
tZlk.ko Intnreat, have remitted a ohec'- to Mr. >\ J. Senaen-
brenner for tl'*,0l6.63 and are herewith enclosing our Drovere I
Amft for '5l,3'*€.13 payable to your order >)elnr- the halanoe ,
due. :
We a « hereMth enoloelng your note etanped i^ald to -ether '
with the InToloee of wayne Hunaier A Oo. for the varloua aalea. ^
Youra yr:' truly.
ARat. Caehler A Trust Officer
Cneloaure
AlP MATL
Ifailei
: :^r^.^'
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Exhibit No. 101
261
ELtCllON UNANCJIAL SlAlLMtN i
Nmmt of CudMtU. IVnon.; Cutipiiin or PlrtyCommHto.. or Oobj J!(U t^TMUMM-^JL^ ^- £j^.rt<^"
XuiM of S«traUrr of Candidal*. Cotemlltt* or Oak;
STATEMEVr of uroantt r»Kiv«l. di«lMra>4. .tc. I> <t» lrur«t. of .J^OryXApt4u R 7lk<i^C0<SLA^
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m*tf* purvu&Dt to Srctjon lt.U9 of the WLaronain Suta(4a.
ntOM WHOM Rcceivco
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265
FiiNAiNCiAL biAlhMhNl
C*anltt«« to Ilaet Je«. K. IcOu-ttajr to th« U. B. S«i
Htm, ^ mtcrHmry ,1 Catmmmtm IftBgU'tt F. BAfttD*
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».iw*ii. (» -I "^t yUI^ I u tw wti» .rf U. 0. Sfn*te£ Mik. Baixjtlloao
UckW at tiM 'I jSSaSoLf^ ^ '^'^ •■ tk< 15 —'V tf- - Aufuat
c
>A-IT
T* Wlxa Paid
Ta WlMs Ovtai
roB WHAT pimpoar
AMOC-NT
1 169261 00
64d 00
4uft.
4
Poat.mater lUlDiiuk**
Staapad Ear.
Au«.
5
XAAAnal Praa*
Prlatln«
30a 00
4u«.
e
Horlham Kxp.
UAuUi«
44 00
Au«.
9
Poala atar Hilvaukaa
2561 00
Auc.
10
Ttl^vhaom Co.
PboDa Barr.
9S 00
8«B
(}«tt«ll
14
OfflM Help
Pa. aonal aarv.
60
00
00
Au«.
Paraonal aerrleaa
20CJ
Total
IS32I 00
fWtvM^ ---..
-
VVlIJg -----
Au«.
14
Offloa Help MUriaa
303
28
Au«.
14
MllMukaa Tlv •
Prtntli*
812
25
Au«.
14
Wla. lal. CoBimnj
Rione Sarvlca
94
00
Au«.
14
IbA&nal Praaa
Prlrvglnt
50
00
Aus.
14
flrit fla. Mat. Bank
Eaat
88 1 94
Aug.
14
Cunao Praaa
STATE OF WSCONSM 3
40MltMAX 9 OAK ^^
p rtnating
lotal
417 65
1766
12
KCEIVED AMI FlUB
-
-
- • i - \OiA - -
FRED R ZTT.'WERMAN
s»nirrAirr fir rrA-rr
.. _
TMal
STATl or WUOONSIN
.}-
■argarat f. Bae«aa >w.. .1.1. wmn. m «m>. — « t>«i V n / i9>^ f f}f9 \
to, ■>. ( ~9«9i» .\ <>' Viii^^ etatta Sanator „ J9««ph R. itoCartbj
„ ,fc, lUpubllcaA tlQkili-.iiiiM.M k. .«>«•> Mth. 1 2JS2iM^" ^ *«^«*'^ ^
ter •' Au£Uat A. D IM ^. tad Vtmt Ifta f ii»ili« h • uvi aM :i«| H li ftaaadal aturaaaal
• - - McCartt^
M ,^,7 J SSniiSS^SC } w TbM Ca^altLaa to Jlaat Joaepb R. i» ^iuxm i ■»! i i i tv
\ aMI^llaa UMwra* J
Ik. r.rtod ..d... Milk. 15 *v - AM«uat . 1^
>-nk>4 .Id (wva t.
Wfora B. UK /
266
Exhibit No. 102
FUNDS DEPOSITED W. RIGGS NATIONAL BANK
'^HINGTON, D.C.
i^To November 12, 1952.
^To November 18, 1952.
I
JOSEPH R. McCarthy
CIEGXP'G ACCOUNTS
PJ.Y KEiiajlS
CiECKING ACCOUNT
Total Regular
Special
19U7
Opened December l6.
1913
V 23,710.05 C 23,710.05
i;i2,6i2.03
19U9
31,260.06 31,260.06
li,l5U.70
1950
U9,599.3U 3U,171.32
s;l5,U28.52
26,526.90
1951
37,W8.85 3U,897.10
2,591.75
27,587.63
1952
30,56l.38V 27,851.68
2,712.70
i?,ooo.ooi/
Cl72,623.l8 0151,890.21
^20,732.97
^6,921.26
267
Exhibit No. 103
SUMMARY
RAY KIEKJUS
Rlggs National Bank Checking Account
Rlggs National
Checking Account
Identified
Deposlta
Unidentified Depoeita
HiSBi
Checka
Cash
Deposit
1
Slips
(To
11/18/52) 1952
19l;8
$ 12,612.03
19h9
ll,19li.70
1950
26,526.90
1951
27,587.63
1952
19,000.00
I 2,602.28 I 5,133.75 I li,2l6.00 $ 360.00
5,110.70 6,08^.00
11,257.32 6,6lli.58 8,655.00
20,802.19 l,598.Ui U,970.00 217.00
12,2140.31 l,li51i.66 5,305.00
I 96,921.26
I 52,012.83 I I5,101.1i3 $29,230.00 $ 577.00
268
EXHIKT N<x UH
te«*
Sit QarBBS
^P
S«r SJSraaa
.-^^ 15, 1.**?
6.20.73
5CC,C0
30C,X
1.000,00
2,000.00
5C.0C
2SC,00
222 ^«?
» 3>:,x
0.70.*:
IX. X
TTtiOS
ZZSOB
150-00
I 13,-^'./^
E. &Car':;7 Krd Ea?- liarsas ^Ittzk
'2{\\)
i':\iiiiiii \,i lo;
QIC«««I«6 ^Ul«. ,l>mnmU
Al-rU 15, 1U7
Itr. M. A. Schuh, Pr««l<l»»^,
A['pl«ton StaU ftuik,
Aitl«U>n, VlBconalD
Drkr Matt I
I liav* alfnad and aa ratur'ilng to yuu hamttii
th« two not**.
Inat«ad uf havlni Hay (Iva yuu a chack for th*
Intaraat on thaaa tuo notaa. Matt, I wundar If you miuld
ap) ly It on tha principal Inataad In ttiat I aould Ilka to
■alt until naar tha and of tlia yaar tu daclda vhathar tha
Intarait ahould b« paid tl.la yaar or naxt yaar for Inooaa
tax purpoaaa.
I not* that I aa short il.OOO.OO In colXataral.
I will (at thla to you within a faw daya.
Truatlng thla la •■tlafactorjr, and a«alj> th-^ikliic
you for your courtaay In thla aattar, I as
Slncaraly yjura.
ufjt McCi
rjfc M«;C*KTMT
McCinh
270
Exhibit No. 106
Q-Tntleb ^(ai«s ^cnaU
July 12, 19U7
I
Kr. lUtt Sctauh, ;
Pr«ild«nt,
A;^pl«ton StAt« B^nk, 1
lppl»ton, Wlaconslii >
DMT Matt)
I har* Juat racaired your notation to th« affact that |
mj two notaa ara dua* I «ond«r If 70U would arka out r*- f
ntval notaa Tor aa to alpi, aa w«ll aa notaa for tha Intaraat
I would Tary «uch pref ar paying the Interaat bjr nota If thla
len't too objectlonabla to you. I haTa two raaaona for
f
wanting to pay by nota lj\ataad of caah — ona of which la t
that I don't want to uae thia intaraat aa an ine.'Ba tax '
i
I wondar If you Bight hara any Idaa a« to wbat tha |
aacond and aT«n aora Important raason la. i
ly yours.
daductlon thla yaap, and If I pay by caah I can't hold It
ovar until next yaar aa a daductlon.
McCiBh
P. 3. Today'a tip on tt>* aarkat truy.
J.Mc.
271
Exhibit No. 107
.'-^
•«l>tMb«r 2, I9'»7
Sanator Joa. H. MoCariAj
haaiiingtoa, U. C.
\T JO»t
'ip to thla tlaa w« iMvan't r«o«lTa4 your oh«ok
for ^1^77. 00 beloe Int^raat Au* on 7our aotaa. If 70a hnvvo't
•Iresd/ sant tnla onaoli, wa would appreolata yoar •lolatt ao
at onoa, as ve Mould like to get /our notaa la or4«r, aa
tna/ are alread/ ov4r 60 da/a paat due.
With klm' regarda, I ■■
Youra rery truly
yraal'^ant
MAS:U
272
Exhibit No. 108
w
1^,
TttftUtb ,^iaUm .j^«nal«
ScpUidMr 9, 1947
Mr. M. A. Sefauh
Pratldtnt
Appltton St«t« Bank
Applston, Wisconsin
Dmt Itetti
In conplUnca with- our t«l*phonlo ooBT«raatlon of thla
Boraing, I an ancloalnc tha Sanator'a chaok of $900.00 to ap|>l7
to tha principal.
I axpaet to ■•• jrou tha first part of naxt waak.
Vlth kiadast parsonal rafardj
c\
Uivap
tee. (cbaok)
^i-
I
273
Exhibit No. 109
OctnLcr It, l<il*7
S.inalor Joseph B. KoCarthjr
Sf(,«tti orfloe viliaiog
V aaldiigt' n, i^. C.
Dear Jo«i
At requerted In your letter of tho 13th wa arc
tii0l06lnj< hertln t^.o r«ii«val notce. Xou vlll ncl- '.:.■•. •,
h*i»e r«do'5M(i x...f rtjiin nole rroii, '.kJ,fjZ''.(.l to f^y.OfC.lS
ftiiJ nave nddert to tr;<; In'.'.-'- est .r.l« dirr'-r- i.op •>f
iU64.'»2. So you vl.l klnjl: tlj^i. Inf idclc-rcrt nc'.i^E /.r
return thea. to ue vlth your chiLn for ZW'.h^^,
with kin-*, pi* I son 1 rrg. rde, I "ir
)fo irs vt ry trily
President
lUSiH
274
Exhibit No. 109A
April 5, 19W
Senator Jo«eph K. MoCarthj
S*nat« Offloa Bulldlae
Wathlogton, 0. C.
^•ar Jo* I
In reply to your letter of April ItX. Before going
Into detail on your stock, you i«lll probably recall tr.at we
haven't returned the notes of t5,M3.77 and f^/.O^O.ig which
itera due January l^th, for the reason that when ve cent you
the Do'^ee to sign, you signed the one note for tU7,060.19
and the other note on which the Interest had been Adi^ed and
did not send us a check for the Intereet, In other worde,
«• would have been Increaelng your lonn by |U63>?6 and on
this 1 had specific Instruotlona froB both the H^xamlnere and
the Directors not to Increase the loan by failure of payaent
'of Interest. We ars returning herein the two notes which you
ssnt us on January l^th marked *oanoelled', for the reason
stated above. This has left your notes past f^ue slnoa January
13th. If we run theie notes another 90 days from January l^^th,
they will nature on April l4tb, making a total of (926.^
Interest due at that time. I don't think the directors would
object seriously If we took the amount of Int rest due on
April li+th from the check of $2,U(X3.00 vhlch you are to
received as a ('Ivldend on the St. Paul stock.
The two notes which are secured by oollaternl amount
to $5^, 9'^* *nd your collateral as of today's prices, Including
Ray Klarmas' collateral, less the $10,000. savings account,
makes a total of $63*035., or a margin of approxlmstely ?0%.
It there la any disturbance In the market you can see that
this margin would drop materially.
Af to the note which ve are carrying for !;?0,000.00
endorsed by Ruseell K. Arundel, the directors haven't looked
too favorably on this note for the reason that Mr. Arundel
hasn't any liquid aspets shown on his statement, as his
statement shows mostly some local companies which he controls
and real estate which is encumbered. Therefore, I think you
should advise Mr. Arundel to be prepared to pay thle note
when It Is due on June 8, ISkS,
it
275
llprli 5. 1-9W
McCarthy
A« far as I am ooneerned personAlly. If 1°^^
account after the Arnunrtel note i» P*^*^' J.^^ii^tngi
director, for their -on-ent to relea..^y 'ohrol fSr th.
"cc^unt. Ae eoon as we receive tne *-^,'*w. uuo
St! ^aui dlTldend we wUl mU you the «^° "'^ "^^^^J^of
elgn 80 we won't be Increasing your loan by the amount or
accamul.iied InlTest.
Ihe note at tne Bank of Black 8V'*''/"*'?r!tT*tSlt
H. PoUsxy S:. been flue .Ino. >^roh 8th. ^^J'-^-^J^:^'
a nev note va. eent to you to ^ J^8"«^;,J^Ja in the .TWt
time we baYen't had It « yarned to ua.lgned. xn^ e„oio.lag
you have al.placed th. note ^^J;/^,^* ""J ^l""' .nd return
herein another note which you ^^ii/i^J^^j,?;^2ok Cra.k
to us «6 eoon ae poeelbl* ao %<• can K*t wxa tuao*
mailer ndjueted,
Dewey at'hla epe'Ch that nlghX.
With klna personal r»g»rds, I a«
Xoura Tery truly
Prealdant
MA3:H
276
EiXHiBiT No. 109B
l^'
AprU I(, 19M
•«a*tor Je««pli M. MoOartby
••omu orrio* >uUdiag
Vaablflgtoa, 0. 0.
Dear Jo«i
«• AM »«tar la rMtipt 9t • •h«Mi «f t?,^00.00
b«in« 4inA«i« M tlM St. ^Ml pr«ftrr«t ato^ ike tte
iBttrvit will t9 «at for tix aMtba «• ye«r !!•%•• Ml *»rU 17th,
••eu*W»l9Sb.91, «• will Uk* this amenukX trm tte «ivi4««|
ohMk. Xa ord«r that yeur sotot won't b« past te» wur loagor*
«• ar* •Boloalac tMr«la two ••«••, ob« fMr M,ilO.?f, iMvIag
•ddoA tb* lat«r««t %o th* act* of (SM)*!? •aA'M •«« •!•••
•neloslat boroU ao«o for »l^l3?»6r b>nat JHfaitt H*
l926>$liat*r«st froa ta« aoto af ^J.Oteuifv fv «tU
kXaAlj alcB tiM aooloooa am%— aad roWcni tBM ta •• v« will
■aU 7o« tho aoto* Aatod Oatobar 17, 19«7, MrkaA *paU*»
Z hop* jrou 4o«*t c«t lata tao aasar lMat*« diaaaatioaa
«ltb Taft baoausa it aifbt U poacibla ttaat ha viU ba mr
aaxt praaidaat.
Vith kiad paraoaal ratarAa. t •■
S^ur* var7 tmli
rra«l«wt
277
Exhibit No. 110
ll«r«h 5, 1951
2^ b«wiU orfloe Bl4c«
Ih. M-U>rtiit «.«-»" «■•-«• 1" J™ »*""
„. and th*t U^« tnt«^ ^^'^^-^^^Ln^oT^a. b^««l ^pon our coocl»»loo
Z^^ du." in 1966 ««J 19^7. our dl^l«^c.-a^'>^^^ po^^ ^ ^^^^ ^^
.^ our oo„=lu.io«. ^- »i*^^.r^SLIJ^ r-ull«<l In th, «.b
l^ynont of ^^^'^^^.^.^'t^JSrt tTth; yUr 19U9. Thl. rc'tion —
«pl.in«l to /ou by r;^»;;f,^^.^"^,TrT^U5« U> U>1. -tt» 1. ^r>or^
Mtt«r ■*• rtFYl»»»d. ^ "• . . K <,<»«^t. in au»«t\or »• li«» ".; *>••«» f^"
Uy tt. r.ct th.t ^f^^^J^^^rlS^o iS^oiJ^ rtcoount ^^ on it. coT-
278
—abiRg%<M\, U» C* Haroh 5, 1951
la lliM viUi ow i b o r a af txl poaltloa •• aual >lso cU: r»» ultb
yuur at«ta*«it Ui«t o«r ■r«o«ot bolJlng 1«, of ooar««, «• Cv-ajrlot* r*-
v«rMj of Uw Ui«trviatioQB «nioh /our u«p«rta«nt g««« ■• In ISiib.' ■•
tMT* not rvrcrswl omt pea^loo on Um <{UMtioa of lOma IntvMt paid ia
dvduotlbl* tgr • Uacp^fmr r«pgrtlag on Um each i«sl«.
II aould «;^<p««r tlMit Um opinion glvsa l^ /our t«x iMyar* t-o Um
•ffact tu«t "Um ptMitton of Um t«x d»pftrt.i9«ni la *tMolut«ljr co:ilr«r/
to th« luW and Utat Um propoMd MlJu»tJMnt« ura "Oeflriltely lllugal",
la «7out>i*d on « ftlsconoaptton of th« fMtta*
V«ry truly yeuni,
wisooww iwAmirjff or taxatioji
Aa»9»tor of IneoMM
279
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280
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Exhibit No. 112
^<^7td<^
•VV^Mfi
• *••
282
Exhibit No. 113
40.00
5 7.83
4.70
45.00
8 0.00
t 00.00
22.50
eo.oo
31.57
10.91
4243
l«.30
80.00
3 37 4 7.00
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6.17
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. .^., — . ..^_^
The R^ccs Natiot.
Basr c* Wa&hington. O C
ys,.14l8
3.4 « 927
JL.t4W
3.3 36.77
-...16W
3.2 7 8.94
JLN17W
3.2 7 424
3 14.10 '■ XMe«
35 8 6.34
Ju\2118
3.5 4 3 34
J^-?2W
3.4 6 3 34
3 8 4.00'' JJiSOH
3^ 4 7.34
J-- 618
3.7 4 7.34
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3.6 6 7.34
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3,6 35.77
kM20«
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3.4 35.94
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Exhibit No. 114
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284
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ta. o S
s°s ^ ■
i ii
o »- S o
ss
^;^ >2 s
>i ft ft °5 1
o So ^ S
« 5 « a
O •. O Q
Is > g 5
«| 1 i s
j ;'>li|.: ' ; 1 1 ; .; 1 r - ■ 1 ; kH I ' 1 1 ! 1 M ' 1 ; i ! . : ; : '
1 ^ s « i *.
s 2 : *^z ^ a s 3 »
••,i,::::is,:,ii«isssxisttii3::!«:«ti;jj}»i
; 1 . ii 1 ii 1 II :i i : MiiiMii mi i :;
82
r3 ~
k.. .
■M" •l"N"l«l= =1- -i^i- « 5 «i=!«i« >i«l»hi"i«i«is|«l«l»l«l«l»i«i« «i»l»l»l»i»l
288
Exhibit No. 118
Wllli«n P. HcCarthy - Coamodltj Accottnt With
Daniel F» Rice & Company
Chicago, Illinois
I
Debit
Credit
9/2la/h8
Check Riggs National Bank,
Washington, D. C»
i 1 1,223.72*
II
?hl^c^
5,000.00*
ii
3,776.28*
9/28A8
P & S 5 M - Dec. Beans
385.00
10/7A8
" " - Dec. Beans
15.00
10/25/18
" 25M - Dec. Corn
175.00
10/17/U8
" 3OM - Dec. Corn
635.00
■
" 20M - Beans
1,01*0.00
II/20A8
" lOM - May Corn
195.00
■
" 15m - Dec. Beans
217.50
II/23A8
" lOM - jMly Wheat
1,367.50
11/29A8
" lOM - Dec. Wheat
1,1*76.25
■
" lOM - May Wheat
11*5.00
12/7/1*8
" 25M - May Corn
81.25
2/10/1x9
Check - Continental HI.
Funds Wired Apple ton
State Bank
10,000.00
12/lVl^
P & S lOM - May Com
82.50
V5/51
" 300 - May Soy B. Oil
1,11*0.00
V6/51
" 5 - May Soy B. Oil
285.00
2/1/51
Check
2,000.00
3/7/51
P & S 3OM - May Rye
31*2.00
3/8/51
■ 3OM - May Rye
31*2.00
3/9/51
Check
7,159.00
Balance
10,000.00
12,967.50
2,967.50
3,050.00
1*, 1*75.00
6,1*75.00
7,159.00
- o -
* A0 of August 26, 191*8
289
Exhibit No. Ill)
* Tool ••<»*w*^':.n-PiiiY
• • •
290
Exhibit No. 120
j^M*^^r*^
• • • ^ . — - - _ —
» • h •
:.;;=.!
'=.---:;-»9«p»^#.5SJt^55l»S8Bf.
!
291
Exhibit No. 121
/f-lht-ff
/7/V; /7}^
^4
^HBHE
Hi^Htf
i
1
n^^^^^H
^13
^^H
^■■B^u^Z'
«
f>«f;**i
>j<f;?<M'i
^n;»X &— :■ ■ ^^^
292
Exhibit No. 122
JULIA COWIOLLY 54 \6T<i OSll
1930 l.OLFKAU JT
;:hICAGO i3 ILLWiOl:.
w ACCOUNT WITH DANIEL F. RiCE AND Company
CHICAOO NIW YOMK
m OOBBT
DUPLICATE
•OULXVAAD
CHICAaO. 4
■AhCl- laTH l! "
APRIL '"Ah ly$l
APnlL
>1
5-21
5-22
5-23
5-24
5-26
6-i
6-S
7-2
UAACH
0-26
V-4
V;-5
OCSCRIPTION
•ALANCI rOKWARD
CUrtKENCY .
Pti, 250LU JLY RYEoiscC
Pi^i 20 JLY RYE i,36
PiU,23 JLY KVE i.-33
TFh TO NOIJ-hEG
TKh TO NON-REG
P!^ 25 i-EPT C0KNi.ig22
PC:i 50 DEC CQHNti632
TfK fRO:.'. NOU-HEG
Pl^ 25 JLY C0fiHi33
PiU< 25 SEPT ..HTt3i6
Pu^!.\50 JfcU coKityes
Pti 25 J EC CORIli;!
CHECK
TFR TO HOti-fiEC
Pu^ 20 JEC RYE il49
TFK FHOI.: KON-rtEG
TFK TO HON-HEG
NO OPEN TRADES
Ai OF Urli'iZ
3000 00
3500 GO
2215 00
215 00
12X 00
6000 00
5348 42
7000 00
1347 50
428 00
253 75
3i45 00
4764 5C
566 2f
347 50
557 50
47C 00
845B 33
ADO
J
\\ybVA) \>A«
1
t
TMW •TATIMIMT (MOULD U*. CAUKTUIXY mOUtVSO FOM INCOHK TAX miVOSia
293
Exhibit No. 123
NAME liB. P. McCarthy
1718
T2^JT
I^IW
4-19-39
1^2835
6-2935
7-539
o_Ll'!lI'39
M339
7-2Q-3Q
♦♦♦io.do
♦♦ •25.00
♦♦♦45.00
♦♦ 200.00
♦ ♦vaucrf^-^ ♦yo.uo
^♦35.00 !♦♦♦ 129.00
••* 109.66
♦♦♦39JM
♦♦ ♦79.00
♦• ♦39.00
L^mOO
♦♦♦130.00
♦♦♦120.00
*♦* 1^.00
♦♦♦ 230.49
♦♦♦ 269.49
»♦♦ 220.49
♦♦♦♦20.49
**♦ ♦60.49
IVlBi d^
1718 \ A
1718 HA-
1719 A A
iTie AB«
1719 A B
me A A
1718 H A
171«» AAH
.^/;171P AAV
171P,A_A_
13
21
8-1439
1011139
il!24 39 .
''*'• U Cfc, 1
i2!l5^39
1-840
l-lt40
j^4ia
3-1940
♦* ♦4aoo
ISJ9
♦♦-^4Djr
♦♦ ♦♦9.06
♦i ♦30.00
♦♦♦ ^^.49
♦♦♦♦2l49
♦♦♦ ♦??.45^
♦♦ ♦6L50 1^* 122.99
•?_*4a00h^^ 188.13
♦♦ ♦49.00 >♦♦ 233.13
1718 HA-
1718 H A
1718 H A
A
♦♦ ♦20.00
♦ ♦ ♦29.00
itiIm
1718 H
171P ,
*♦.♦ 253d3.
■>♦.♦ ?38JJll - 17J^_^
^ I Zi^.0%
FIRST WISCONSIN NATIONAL BANK
OF MILWAUKEE
B
A
A
A
A
294
NAME Wm. P. McCarthy
ADDRrts 931 ■ H » Tu uth St.
1718
Ol-O NO -
WITHOKAWAL
^08
*** 364.08
**3Pd.Q8
*'**_5?^S8
ACCOUNT NO SYMBOL
5-3H0
E«t4nce horn«ijid
***
6 -2M0
.7-1140
7-2740
♦♦ ♦20.00
♦♦125.00
♦ * •cO.OO
•♦ 160.00
toLtel<c.lS4ft
XVh
L2-19411
Jtt*!IO.QO
♦♦ ♦ gO.Qp
♦♦gPO.OO
♦* ♦gQ.OO
|*#3^9632
♦0446J2
K* 10a00i*Ot Q4^ i
1718 H A
171? H n
171? ji Q
1718 A A
An'
[f_AA«
••2,946Jfl^^^ie_4Ai
m8 M A_
lat.toJMtiftM
»«f. toMcVip
?-:?4i
l-i&42
♦•? 1^.00
*2f734.12
C-f
-_a,074,12
<.?>734:L2
» »* ♦♦0. 00
FIRST WISCONSIN NATIONAL BANK
OF MILWAUKEE
295
ExHlDiT No. 124
^ME We. P. I'cCnrthy r Julie: lid
ADDRESS nriii_JIaui#
wamm
VITNDRAWAL
irjTnirr?:z^
2 IM.t«J«R«U
r^toW.iAi
Wn
^IH,
_Z_^ _ . __ _t
8
■'Zyit
hit.to Jun* \Hi
zEJZ
•ALANCf _ I *CCO0»fT
NO. tYMKM.
S
/32k\ v /TT^v
l£K>^7J^.
J^
^^^A/i />^.
.^.Jffl.2^
i<
JUI124-48
17
bit*.
WTT^^^^
^
IMI
«24.7g
^^^g
^
lAAJ^^
Q_3LI^-JL2
yc J /2.i^_uA
A***OiB i_lH
ftUl
^
^'-'/V ? 4
^^
i5^
24
«0I
FIRST WISCONSIN NATIONAL BANK
OF MILWAUKEE
296
Exhibit No. 125
r
297
KxMUtiT Nt). 120
A Ct,»>J*iT /V» , Il9'*l3'\
ft*
(9
P^
J^y^
^^iL
W<fV<.««Mil^
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298
F I m } r /s^ i T ) * A/ --> u B f\j K. c v ' .^ ^ C . Ti.i.
ACC^'^T f^e. Ilj-yiy-f
299
P i t. } f V.»Ti»*^/»l. fll/w K i. l-> tf.A ( ^ t A. ,
>(c.c>t^Mr V». ii3%i9'V
'tu1)u •"^^i
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4
1^
Ll
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7%f
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_i/s=t
u=J,s^^LjMAU=itiJj^
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ma i3fnr&uim BdTXiY
^ « Z *"
B 5 O I- 2 u.<
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A.
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mi
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il
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1
Jttl^iodsa^
£ < 5 ^
301
302
mnif A with SMartky If 4f tM M««n (witetM tat %• ^ wnmmX
■MfB*««« wdTarMfty tatlli^ PnA
St. m»f*»
•t. MKttlMW
8t. Fmvia
AMrlMS M«ll«f f«r r»lMi
!!•« Onaa
SalTatlaa Angr
itarak af Otaaa "^
s.c. Saalaty, Ortlfla OhilAraa
saart Aaaaalatlaa
■Ika arlyyla faad
altr OlMat
viiaoaalB Oaaaoll far Bliat
D.C. Ta^araalaaia aaaa.
Vlaaaaala T.B. aaaa.
Marleai Ladaa rahaMlltatlaa fMi
3t. Th«r«aa*a Saalaaiy
St. Patrick* a
•.00
ae.oo
STB.Oe
•.00
0.00
10.00
5.00
1.00
••00
10.00
s.oo
1.00
1.00
1.00
1.00
980.00
•00.00
|1|.2U.90^
0-^ ^
303
R. MC OASXA
USXBXr A^B
oooofiffzoi 07 audztzoiax. aoiou. ivooi tax ajd numsBs*
RITXWDIBR Wmn> SORTAZ
1*47 19M
0«rr««t«t TunM* Xmmi« •It.BtS. -T«t74
(UklMt 0}
laeoa* vrvrlMsly Ux«4
Aital tu(*la tMM* -B »013 -T.MS
0*rra«t«« Mnal iM«M
tax
Laaai ycMMMl MOVta «»__«___«___
0«rr«etM mA Mrml IM. t«i
ABt yrrr aaMis«4
AAtal «t ••raal Ibomm tax
lataraat
nnaytax a« lata wat
at taaahara* ratira-
/txiwi aurtax
imX pxftTaljr aaaaaaa4
'"^ ^akra rtat aartax
•araft
ratat aurtax At'
1949
B.SBl.ei
s.sai.ei
Ud aurtax
TSRJU
Aital 90% aartax
lataraat .
as< aurtax k tat
fatal aital taxaa
Tatal tataraat
TatU a«tBl taxaa 4 tat
B4.M
aa anti7
ma aka« MhaAaJa af aMltlaaaX taxaa la aaaUaftra af tatav
aat «htali la ta %a «af«ta< tteraaa aad aitat tkarata as arar-aaaaaa-
■aata aa« «« ar-aaaaaavata aa »ran«a4 i» aaatlaa Tl.Of (•) a a»« «
af tha atatataa. Aa Vlaaaaata OapartMat af Taxattaa tea aa MaaraV
taa la tha aattar af aMlag tataraat.
304
wrmX ^M
VHmutux
■ TOttl
' Beta.-'-:--''':"'- ■:■ -^;;'
V.-;9».X« ',; •.vy;;.*.
10. w
-134*2* 4.
305
XMlTtAMl AMlt lo«rt
joaui X. ao ouumr
t54 S«Mt« Offl«« \1§M
ooBwxffxoi or ooMmam tajubm im
tax MtarM
"THT ^^ { |g^^*"iiu ■
-i.soa.at
•tS.OO «S48.»4
8«]|«« S
SohaA «
Sokad 4
1. MTt««a«« r«««lT*«
41s9««ltl«a •r ■■••ta
a. Staa««r« OM-ll*«trl«
C». prmt stack SohaA i .4.7111 am
%aB«s A aaoBrltiaa Soba< a a»» i
•• Ukll '*»"•• '* •'
•^■*"'* Soha* 9 -8.950.83 -?, 528.0
f raf ataak 8«Jia« S 2Sa 1
oa. aaMoa ataok solia* «
.. Daaa Ca. oaaaaa ataak Sokad 4
S. Zataraat »al«
a. Vtatar MoCarvtok
*. Stayhaa MaCartkjr
a. Ayylatan stata baak -l.AOS i« bk^i -
d. Oanaral Uatara Aooa»t. -1.803.18 1831.7
aaaa Car*.
4. Stata laeaM ta. ,.u Comant 2 -\g.877.a8 .aj o.
Ineoaa bafara daduetlaa
far fadaral laoaaa tax
aad aantrttattaaa >
8. Vadaral tnaaaa tax da-
duotlMa C,
InooM %afara daduoUaa
far aaatrtbuttaaa
8, Caatrt¥utlaaa daduetltola Ca—aat 4
Oavraatad taxaMa inoaaa Ta Xxhlk i-B " --;--*.
•18,521.92 -7,274.45
238.10
•1.803.18 1831.72
-150.00 ^
^ -32.25 y
8,810.28 V
8,888.51
8.488.45
306
COMP'JDJ 01
Ooit of 1211,000 parjmlu* of Central of
aeorgla Ry. Co. 5% bonds 4u« 1« 195t
7- 1*48 Leii cash rtord »»-r^yTTggT '»«f*tT B
Caah rocTd In roorganlaatlon
3oo«rltlao of cent of Oa Ry Gi
1. jiirat Mortgago bonda - 1%
SfTimu *B" Boada
Serioa *A* ofd atook
ConnAon atocK
* Net loaa 1948
ATa. coat oan stock por aharo
V% sharea sold 1703.89
3«lling prloo
Loss
Remaining oost
No of shares 700
Cost •
Total Coat
id Cost of Cent of Ga 5% 'band! due *59
42,f60.
18,000
6,000;
9,000'
30,000!
40,000
5, COO
4,O0C
2,000
100,000
2.00C
211,000
aCiiLOIL 2
J03BPH A. MC CARTHT
U Oy L0d3 TRQM SALS 0? SECUHITISS Oif Ci^NTRAL Oy
SKORQIA RAILRCUIO CO. H 1948
Valat
Par C«nt Co«t
of Cost of Now 3«I ling
•f Baoh Soourltios rrioo
1. 198.57
45.148.24
633.00 453.00 1»49633^ 675.57 416.24 .259.33
1.055.00 828.00 2, 73502< 1,234.81 518.83 -715.98
12 66 454.00 1,49964% 677.06 360.15 -316.91/:
2,403129 28,539.00 94,26901% 42*850-88 ^ 12, 365. 14-17, 779. 09»
S0.874.0U i¥}.% 45.148.24
633.00
1,055.00
12.66
30,164.23
12.365.14
1.7,799.09
Loot olalBOd on rotura
A4JuitBont to Sx. C 1948
-19,091.31
-18,625.33
-465.98
Oest
4,455.00
1,212.50
1,062.50
6,403.53
8,966.89
1,096.04
875.62
432.99
21,406.25
46,346.81
307
joara I. MO OABisr
aasMWiM 13
2«3SIS Ain> QAIW nou UJM Of {aUOAOD, XUVAOCU
* ST. ri0X. B.A. CO. OOXMOI AMD m 8T0<K
IJ- -U BMCkt 5^" 14f!lT«.0« 7ll5S.«l *•*• "*' "*•
MU
Bal«a«« B»000
BaIum »0
•••4«4t Bmtfit I ••00
Balaaa* 1
u-i-4t MU -a,ooe
S7.ro«.u
'^•1S.«48.U
• " ■ la a:3«:fl "■""•
.20.»»7.ai
11,0S1.6B
M.OBO.OO l»,t07.ai
X««M« •l«t»«4 (la nturma
MJ««t«« la fravlraa M41t
!•■■ aat olftia«« aa ratan •
•4Jaata«at to XidlUlt
• -14.788.19
-16,848.54 -tO,»97.«3 -14,788.15
-8,080.91 -1 8,0»a.4O -7 ^288. 14
-7,884.45
-8,980.85 -7,888.01
PflBflRUD 81DCK
iSrS:!! "• ».»7«.78 S.4a4*.M
1I.BV.4T g^ 18,t4T.10 17,X57.1«
•*•*•.••*. »«»«»*a« aa ratara -
308
joa» K. no OABTir
MMISB 4
Mas warn iaui 9 fr****** axmllm ■•>• oo. mMK
•r mU " " " "
10.>*'-4« 1.8«0 92»U4.W
S.S.4f ' -.- -
BaiMM i.Tio 4a.ao«.*t
••lltaf fvlM
•••tr.n .i,Mt.u
LOU RDM UU OF BOA 080. ilOOl
o.'>^.40 too u.tii.at
It- -4f
]i«i««M »M.M o,ioa.w
Aijvttatat t« B]MUt
••wo.as
309
^- . V-^ . JOSEPH ». MC CARTHY
•2^'tetS ' XUXliHSST PAID
3«tB dull S
( 1041-49 Cliack #21 187.60
12-30.49 Cte«k
Aao-iat olala«« oa rctura 97.80
Adjuttaant t« sxhtblt C -ISO.
1) Iat«r«st yald t« Hr. 3t*ph«a MoSarthy
Aaouat olalaad oa tax ratura 71.75
AMMuat paid 104.00
Adjuataant ta XxhUlt C •32.29
0) Xataraat
Taar paid 1946 1947 1948 .
Xat. ta
1.28.48 iU2.tS
B-11-48 914.59
2-25-48 1.18
6-25-48 485.92
e-27.48 8,324.55
11-19.48 418.40
1^31-48 856.34
3-15-47 -^^ ti ^- 858.74
9-11-47 . . 800.00
U-20.47 484.48
4-82-48 , 926.51
7-8-48 '^ 408.40
7-16.48 602.99
11-13-48 4
1-V49 i
8-80-49 4
9-80-49 / i
18-20-49 / f
858.74
600.00
484.48
926.51
408.40
802.99
463.26
271.71
463.26
630.04
811.67
Xataraat daduotlbla 1.803. )« 8137.90 2339.94'
A»aaat dadaetad aa ratura 8869.88 9180.22 '
Adjuataant ta XidilMt <-1803.18 561.72 ff
Adjuataaai far jaar als ad ta aadlt
-4880.81
latai Tha abaa aabaduk aat aaly adjuata tha daduetlaa far
iataraat m18 ta tha A»ylataa Stak a baidt aa ba% aaa laara, bat
alaa aarraota tha acfracata aaauat alaiaad aa daduottaaa bar
•lt478.88.
B) Xataraat paid ta
Oaaaral Matara Aeoaytaa«a Oary. -88.00
Aaoaat alaiaad aa ratara
Adjaataant U liditblt -88.00
310
MeCartlir's 1949 r«f(ura, •• orlgiaally filed. Apparmtly »•■ first
■««• out to show a tax obllRatioa of •13.2$- ^« «itrlaa nipportlns
that obligation do not appaar to ba In '•oCarthy'a handwriting. Hia
writing appaara to ba uaad, bowavar. In antriaa abowlng dlvldanda ra-
oalvad and^loaaaa on atook aalaa, with tha lattar pro«uelng a tax leaa
that allBinatad tax liability, aeoordiag to tha retun. Hanea all
When it waa raoalTed io tha ^^pplaton aaaaasor'a offioa, tha
notation "Saa attaehad" appaarad on Sebadula B, Daduotlona for Intar-
eat Paid. There waa no attaehad paper; nc^arthj aant It a few daya
later, aaylng tha tax department auat haTa lost It, but that ha waa
forwarding o copy «ift<ir baiag told by raportara that It waa ■iealB«.
Thlo eehadule of interest paid in 1949 follows:
Victor "oCormick, Ore«i Bey, Wis.
Howard «e»'arthy. Appleton, Wla.
Steve t^ccarthy, Appleton, w^a.
WllllftB Mooarthy, Chicago
nelen "offmen, Appleton, Wla.
Olive nomely
«ra. Elmer ^oon, Appleton
Peoplef Loen and 'Inanoa Co., Appleton
Thorp 'Inence ^'O. , Thorp, "la.
OutHganle ^ounty bank, Appleton
Appleton '^ate bank, Appleton, rls.
fflfffs NRtlonal bank, Waahlnpton, D. C.
Cltlrena State bank, Shawano, Via. ,
97.50
2857.70
71.75
2258.
74.
75.
18.
269.92
247.^-
311
Exhibit No. 12S
Y
^-f
Toll Galls M*d»' 60 Wisconsin 7-f?477, * •>,• York Gity
;;iL?cr- 'ri«r - •.l<*r«d 'Kohlh«r:^, Alfr«.i r.ohlV.sr^, Ir.r ,
1 Jrst 37th Street, '.'ew York Clt/
roll Calls .'..sJ« to Bronxvii?,« 2-336i., ?ro':xvi:
Subscrlbsr - Alfr«d .Ncinlbsr^^, -/f ^•llwocd Ho&o
3 rorxvilI < . ^^sw Yfrk .
?':£* Nsr;« ani/or 'Van'hsr of 2
r-rscn Gilltj
yii.^ - 3' bscrlbtr -
F. rerr, 3032 2cr,h
'v'C -^
1.7/52
ci.ll of u/\6/5:
/," -s. 3]2a,
ixt. 16<»1, -vashir^-
tor, :>. C. Sijrjscri-
^»r - V. S. C<ritol-
t.xt. I6.'i.l - Str.at:^r
• 'e3«;rh X. "cCarthy.
iiixe re.Tiarks as op
nr&csiin' call cC
^/l!-/52.
.Sign's rf.iimrks is or
call of 4/16/^2,
"xc^ft call ms'is fron
i-.xt. ^02 tt *'s. 3.120-
7/30/32
:.9."« CS'tS
111, I VI,
^9ii. rra.ia t>v "K«rr
-t ra. 3120^ r^xt.
V. G, c>;ibscrM)er -
';. :.:. Cst^itcl - ••:- .
•37 - :>*.^«.tor
C-tjI r« .-.'.« by
"■'cCarthv,'' y^ . 312,
-.xr.. ?37". S«T« suj)-
■CT-' *:»r
^r»r«ii
^^V52
312
)/>/^.
: nnJ/cr ''urHer of
:-80n ?«Tl»j
sa-* -lira -«< r-n call of
;{«m*rk8
r.hy," Ka. U- .
lCt»l. Subrjc:-
':. S. J«ri*,-l - -.^;.»;,.
slon l!'':»l - Junctor
Call "a •!• ■'■•,'
'•*. 3120, .^' . . ■■,1.
T^c^Jlr ' rail.
313
Exhibit No. 129
WISCONSIN STATUTES
1939
229.21 Limit of Loans, (l) The total liabilities of any
person, copartnership or corporation, other than a municipal corpora-
tion, to any bank, for money borrowed, including liabilities of the
copartnership, the liabilities of the several members thereof, except
special partners, shall at no time exceed twenty per cent of the amount
of capital stock and surplus of such bank, or fifteen per cent of the
amoxuit of capital and surplus of such bank, and in the case of a
municipal corporation twenty-five per cent of the amount of capital
and sxirplus of such bank, but obligations of any person, copartnership,
association or corporation secured by the warehouse receipts issued ^^^
by WEirehousemen licensed and bonded in the state of Wisconsin purau- ,' ^^^
ant to the provisions of section 100.13 or to the United States depart-
ment of agriculture pursuant to the provisions of the federal bonded
warehouse act, covering readily marketable nonperishable staples, when
such property is fully covered by insurance, if it is customary to insure
such staples, when the market value of such staples securing such obli-
gation is not at any time less than one hundred forty per cent of the
face amount of such obligation, and in the form of notes seciired by
not less than a like amount of bonds or notes of the United States
Issued since April 2^, 1917, or certificates of indebtedness of the
United States, shall be subject to a limitation of thirty per cent in
addition to the limitation hereinbefore stated, and the discounting
of bills of exchange drawn in good faith against actually existing
values, and the discounting of commercial or business paper actually
owned by the person negotiating the same, shall not be considered as
money borrowed within the meaning of this subsection. The li.mi tg.tion
herein provided shall apply only to new loans made after the effective
date of this subsection. The renewal of an existing loan without increas-
ing the amount thereof shall not be considered a new loan and a renewal
with an increase shall be considered a new loan to the extent of the
Increase.
orm
tlieo
state
by DC
siici
this
(2) No bank having a combined capital and surplus of more
than twenty-five thousand dollars shall make or renew any loan of five
h\indred dollars or^ more without securing a sworn financial statement
unless the loan is secured by collateral having a value in excess of
the amount of the loan. No bank having a combined capital and surplus
of twenty-five thousand dollars or less shall make or renew any loan
of more than two per cent of its combined capital and surplus without
securing a sworn financial statement unless such loan is secured by
collateral having a value in excess of the amount of the loan. (Spl. S.
1931 c. 10 s. 13; 1935 c 2^5; A3. 08 (2))
fon
314
Exhibit No. 130
WISCONSIN STATUTES
1949
221.29 Limit of Loans and Investments. (1) (a) The total lia-
bilities of any person or partnership, including the liabilities of the
several partners except special partners, computed individually as to each
partner on the basis of his direct liability, or corporation, other than a
municipal corporation, to any bank for money borrowed shall at no time exceed
20 per cent of the capital stock and surplus of 15 per cent of the capital and
surplus of such bank with the exceptions stated in this subsection.
(b) Providing such liabilities are secured by warehouse receipts
Issued by warehousemen licensed and bonded in this state under section 100.13
or under the federal bonded warehouse act, and providing such receipts cover
readily marketable nonperishable staples which are fully covered by insurance
if it is customary to insure such staples, and providing the market value of
such staples is not at any time less than HD per cent of the face amount of
the obligation, this limitation shall be 30 per cent in addition to that
stated in paragraph (a) hereof.
(c) Providing such liabilities are in the form of notes and secured
by not less than a like amount of bonds or notes of the United States issued
since April 2l,t 1917 or certificates of indebtedness of the United States,
this limitation shall be 30 per cent in addition to that stated in paragraph
(a) hereof.
(d) Such liabilities as are created before April 1, 1953 in the
form of notes may exceed the limitation stated in paragraph (a) , provided
that the excess shall not exceed 30 per cent in addition to that stated in
paragraph (a) , and provided such excess is secured or covered by guarantees
or by commitments or agreements to take over, or to purchase the same made
by any federal reserve bank, or by the Reconstruction Finance Corporation,
or by the war^ department, the navy department or the maritime comirdssion of
the United States.
(e) Such liabilities as are created before April 1, 1949, in the
form of notes or bonds secured by mortgage or trust deeds insured by the
federal housing administrator, may exceed the limitation stated in paragraph
(a) , provided that the excess shall not exceed 20 per cent in addition to that
stated in paragraph (a) .
(f) Such liabilities as are in the form of bonds issued by the
federal land banks in accordance with the provisions of section 21 of the
federal farm loan act and amendments thereto may exceed the limitation stated
in paragraph (a), provided that the excess shall not xceed 30 per cent in
addition to that stated in paragraph (a) .
(g) Where a portion of such liabilities is guaranteed under the
provisions of the servicemen's readjustment act of 1944 (38 U.S. Code 693;
58 Stat. 284) and amendments and regulations pertaining thereto the limitation
stattd in paragraph (a) hereof shall apply only to that portion of such lia-
bilities which is not gviaranteed by the administrator of veterans' affairs.
315
- 2 -
(h) Such liabilities as are in the form of notes or bonds secured
by mortgage or trust deeds, insured by the secretary of agriculture through
the Farmers Home Administration, \iader the provisions of Title I of the
Bankhead-Jones Farm Tenant Act, and amendments thereto may exceed the limita-
tion stated in paragraph (a) , provided that the excess shall not exceed 20
per cent in addition to that stated in paragraph' (a) .
(2) (a) Except as otherwise provided in this subsection, the total
liabilities of any municipal corporation to any bank for money borrowed shall
at no time exceed 25 per cent of the capital and surplus of such bank.
(b) Where such liabilities are in the form of bonds, n-jtes or other
evidences of indebtedness which are a general obligation of any city, town,
village, county, or school district in this ste.te the total liability of any
such municipality shall at no time exceed 50 per cent of the capital and
surplus of such bajik. The total amount of temporary borrowings of any such
municipality maturing within one year from date of issue shall not exceed
60 per cent of the capital and surplus of such bank. Temporary borrowings
and longer term Wisconsin general obligation borrowings of a single municipal
corporation may be considered separately in arriving at the limitations pro-
vided in this subsection.
(c) Liabilities in the form of revenue obligations of any munici-
pality of this state are subject to the limitations provided in subsection
(2) (a) but in addition thereto any bank is permitted to Invest in any general
obligation of such municipality an amount which will bring the combined total
of such general obligations and such revenue obligations of a single munici-
pality to a sum not in excess of 50 per cent of the capital and surplus of
such bank.
(3) The discounting of bills of exchange drawn in good faith against
actually existing values and the discounting of commercial or business paper
actually owned by the person negotiating the same shall not be considered as
money borrowed within the meaning of subsections (1) and (2) of this section.
(5) No bank shall make or renew any loan or loans, the aggregate
total of which exceeds the amounts prescribed in this subsection without being
supported by a sworn financial statement unless the loan is secured by collateral
having a value in excess of the amount of the loan, but no sworn financial state-
ment is rec^uired if the loan is not in excess of:
(a) Two per cent of the combined capital and surplus if such bank
has a capital and svirplus of less than *25,000;
(b) $500 if such bank has a capltaO. and surplus of $25,000 and
less than $100,000; or
(c) $1,000 if such bank has a capital and surplus of $100,000
or^ more.
(6) A sworn financial stt.tement furnished by the borrower to a bank
in compliance with subsection (5) must be renewed annually as long as the loan
or any renewal thereof remains unpaid and is subject to the provisions of sub-
section (5) .
4
i
316
- 3
(7) A loan or a renewal of a loan made by any bank in compliance
with subsection (5)> without sworn financial statement, may be treated by
such bcjik as entirely independent of t-ny secured loan made by the sune bor-
rower providing such loan does not exceed the loan limitations provided in
this section.
317
Exhibit No. 131
318
Exhibit No. 132
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319
Exhibit No. 133
y -uiK » Kiv.-i v vii'jiu, u,i!r
320
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322
Exhibit No. 134
,o^
rJ , Stnat* Offlot Bull<Jl««
i^rll 22, 19^7
^.:^
telov M art glTln« you Xh» ""^t-t^o^V**?/"^.,
15.000. Cynt. Of Oj. 5. of *{^ g
X.
1.
?0 til Hcela Mialnc
00 th Burrouoba
200 tt 0. M. »t. r. * '.
KO ah a«a. rin*a««
15,000. *ortg*«« _ «_w#
1211,000. Cant, of »a'5*V 12 iL — IT'^
5oO ah ataa. Oa« * Uaa. >^% pf4. tW ' '
I8S6.10 Oaaand C. D
.00
.00
.00
.00
l:JS:§S
5, 600! 60
f,200.00
23,210.00
4,000.00
Total Loaaa
20)( aargia
Talua of CoUataral y^
Total Talua „,
■ASll
©
323
Exhibit No. 135
Moreh Ik, 1949
Bviiiitor Jotapb R. NeOarthy
StoAt* orflo* Bblldlof
/'
DMir Joai
Xour litter of the lOtb iia<lretatd to L«wreno« haa
beaa handed to ae for reply. Z wae woztdorlai; If jeu aod Lawraaoa
uae the aaae arithoetle In arrlTing at the paroentaga of aarfln
00 your ooXlataral, ae ther^£««eeaa to be quite a dlffarano*
betveea the two figuree. Below we are setting up the value of yo«r
ooilnteral, whloh you will note !• approxlaataly |6i,$9'(.00 aad
the note* whloh aie held by the bank total l$9f'^97.00. In figurine
your eeourltlea we harea't taken Into ooaaideratlon the 1678.29
whloh it held by the bank for the payaaot of iAt«>roet. Tou vill
note that aooordlng to the figurea we are eettlng up that tout
■argln la 11^ plua. If you oan etill figure thia at ZOJt or OTar,
1 wiah you would give ae the seoret of your figuring.
oou,^Ts^Ul.
Kjemae
100 ah Seaboard
7,000. Cent, of Oa. ^t of •»
10, COO. Pent, of da. Sa of 9$
50 ah Heola
100 ah Burrougha
300 ah O^rbara
50 ah Uen. rinaaoa
Mortgage
Savinge Aoot.
J. R. KcCarthr
1300 ah seaboard
Caah froa eale of ?00 ah Seaboard
4<j0 ih <; ^aboard
SOO ah Dana Corp.
700 "
:aah
ah Cent, of da.
I.6?%.00
500,00
557.50
*,200.00 v^
300.00
3,800.00
ai, 125.00
7. 31?. $6
l?,00O.0O
2,8oo;oo
With kind regarda, Z an
Xoura very truly
324
Exhibit No. 136
c^i^M^.
^i; DEPAUTMEXT OF STAi K
; tEo all to l^liom tiiMie ^rotentt l^tall Comt. Greeting*: b;
r y^ I'l^ZD :;. r.I!.i;.'.sm-JVTT . ^ secretary of State of the State of Wiscoruin and %
? Ken>er of the Great*Seal thereof, do hereby cerHfy that the annexed copy of |
:^ election financial statements of Joseph a. !.:cCarthy, filed Aucusf |
£ eth and Aucust 19th, l%k, i
has been compared by me with tt
orlKlnal expense Btateiaents, on
S in this Department, and that the sarna is a true copy thereof, and of the whole
^^ 4^ such — — -^o^.-.^^--
"/n Testimony Whereof, I have here-
unto set my hand and affixed the
Great Seat cf the State at the
Capitot. in the City of Hadison, tMs
^ - - . A. D. 1951*
325
/ ELECTION FINANCIAL STATEMENT
Nam* <rf CaadMslr. rrr»<jn«l Ctraftign Of r»rt)r-Cooimitl»». or 0»b; . ,;rf>rCt.ytt.-M. ^'' ^^^♦'w^A^i-Ci-
N»Bt (f fMFTUn af CiiKltn, CaOLmitta* o* Ctab;
STATIIMENT of unounu noirvd. duboraad. ««c. i> tb* intcnata at ^^K '-f^'^- fi /^V (\aJ{7 a^^
sAn of ,^1.-4^--. .«>;r^tf.A.^Jfc4 on tha .^Vviv^^XJ-CtA^a ^ _ .
rmndidala for •. " etJ<Vion i *'* ^'>* °n^
tkkcl at tlw j SSmU ; to ht Iwld on the . — L^
■•4a panaant ti. Sx^tmn ILM of iko Wi»rcii(in Stantaa.
day of .
.i*V!rr5.-- S-?..
. A. 0. IN.St..
DATE
nu>y WHOM RECEIVED
rOB VBAT PVRMU
AMOUNT
t
!
; 1 ...
i
1
1
J
1 ■ •
"" i
)
Total iMiliad
MTI
TO WHOM PAID
FOR WHAT rviu>ou
AMOUITT
..43^
..?..**A1.
FTS.
V.Jf.s:...
. ..l>-!VI>:*V<3fc«<_/(#f:«! *t***^
....^.a.A.
-ii.
V • -•-
*
—
\
1MI«»CkiHa<»W<a««)
\JJ.H..i.
a>
326
7T
! i i
Hi
i
e I
M
^
I:
4i '
^
^
OATS
TO WBOJI rklD |C»«I'4)
FOK WHAT rvmrotM
AMOUNT
■*•• *"*
"*
.
~
Tlfcl «ll 1 1
fOR WHAT Pl'lirQU KUOXn T
DATE
1.
i
!
-*
1
1....
i- •
1 ...
1
rrAT« or WISCONSIN >
. M oMk MV* >kM W li
""•'*• r4«^ ! *"^ "" ""
r*r pallbiml »ofi
te, rf ,^s6i<V^.rV:<?^ ^,»4(y.Wi^t(»r-iU.>-««.<.'."nr I-'
I »MI«mtt— «■ i»r«fT«J ' .
♦ TW •*rr.«»rT it • imtm^ti c
_„. ISM H> (•)• ., . .
327
~7-
^
BLECTIOI niANCIAL STATSiaiT
XaM of eandldat* reporting: JOSEPH R. McCATHY
3TATO!ENT of uiounta rec«lT«<], disbursed, «te.. In the
interests of Joseph R. MeCarthy, osndldaCe for ncaiin-
stlon to the office of United SUtes Senator on -he
Republican ticket at the prl-narjr eledtlon held on t he
fifteenth day of Au^st, A.D. 1944, aade pursuant to
Section 12.09 of the Wisconsin Statutuoa*
I
Receipts since last atetement filed by the
aforesaid candidate preceding said primary:
Disbursements since last statement filed by the
aforesaid candidate preceding said prlsiary:
MORE.
S5^
'^sssw*
V
328
trATt or ffiacoatii )
OutacMl* Count/ )
)••.
Joseph R. McCarthy , b«l.ng duly ••orn on o.th, •*/• that
b« •«■ A o*adld»t« for th« ■o.lBatlon of hl.««ir for th. Onlt.4
•tat«« 8«ii*t., Tottd for mt tho priory hold on th. ISth (l*y of
Aufutt, 194», *ad th«t tho foregola* !• a tnw and ooapl.t* flnaa-
OUI itatt-Mt of .T.ry (r«celpt/di.bviri.«nt/obllgatlon) by hV«
for political purpo.cf for tb. ptrlod ondln* on th. 12th day of
Aufu.t, 1»4«, tog.th.r nth th* na.« of .Ttry p.rMn to or fro-
itioa tuoh (aK>uiit «as r«o«lT«d/dl.bur.«.«nt »•• •adc/obUgatlon
•a. incurred), th. .p.olflo purpoM for -hlch and th. dat. on rtlch
•aob -a. -ada or r.o.lTad, tog.th.r with th. total aaount of .-oh
(r.o.lpti/dl.bur.».nt^obll«.tlon.) la any «ount or .ann.r *»at-
thl
ibaorlbad and .worn to b.f^» ■•
It/fP' day of Augw.t, 1946
329
a'BCIAL COMMITTEE TO INVESTIGATE SENATORIAL CAMPAIGN
EXPENDITURES. 1M4
la eooDcctiMi witk noodaatinc
PRIMARY BLSCnONS. CAUCUSES, OR CCWVBNTIONS
QwstloMMirt
Th« foOowiof questions are to be answered by every candktate for the offlce of Senator of the United
Sutea at any Primary Election or at any Nominating Caucus or NooiinaUng Convention in every State of
the United States daring the year 1944.
The requested information is required in connection with Senate Resolution 263. 78th Con^reaa. 2d
Seaaioo. March 8, 1944.
1. Name of State in which you arfe a candidate .
?t<
Coafarflmtloas
^ Hava you received from any aouree any contribution, gift, service, or anything else of vahie to
^ yow candidacy for nomination as a candidate for election to the Senate of the United States from
th« State of _/f /^r'?:r^^^rf-Sr-«s« in the Primary E)ecti<m, Caucus, or ConvenUon during the
ymr I944T .
Yes _ No. *'^ .
If yow answer U •TTes," please specify in detail below :
Total.-
330
S. Hm any peraon, with your knowledge or consent, received «ny contribution, gift, i«rvic«, or any-
thins elae of value, in behalf of your candidacy for nomination for election to the Senat« of the United
States from the State of in the Primary, Caucua, or Convention of 1M4T
-wr-^- HtS'^!^
If your anawer ia "Yea" pleaae specify in detail below :
B^ wkvm r*cmv9d ami addrttt
TOTAL
Frowi whom rffMii-fd and addrtt*
Total
4. Haa any individual, group of individuals, partnership, association, or corporation, with your knowl-
edge or consent, rendered any services or made any facilities available (including personal services, and
the use of billboards and other advertising space, radio time, office space, moving-picture films, and auto-
mobiles and other transportation facilities) in behalf of your candidacy for nomination for election to the
Senate of the United StaUs from the SUte of in the Primary. Caucus, or Con-
vention of 1944. without receiving in pa.\-ment or compensation for such services or facilities the fair aqtf
reasonable value thereof T — -
Yes No
If your answer is "Yes." please fully describe the services rendered and the facililios made available,
set forth the payment or compensation actually made therefor, state the fair and reasonable value thereof,
and explain Uie baais upon which such fair and reasonable value waa computed.
^ <^
/^ kK^-vV' ^ y C-c^
331
Expenditures
5. What expenditures or diabursemerits have you made in behalf of your candidacy for nomination
for election to the United States Senate?
-if
Tb whom paid, addrttt. and purpott
Total
fXIjuI^.
8. Have you made any promise or pledge relative to the appointment or recommendation for appoint-
ment ol any person to any public or private position or employment for the purpoae of procuring support
in your candidacy tot nomination fbr election to the United SUtw Senatet ,
Yes No.-r: _
If your answer is "Yes," please specify below:
Name of person to whom promise was given . - __ ™
Address of person to whom promise was given
Description of position or employment promised
(// ixUilHmai rpae* u nnd*i, turrpUnunt cm an Mtra «*««« of pap»T and attack)
7 Has any person, with your knowledge or consent, made any promise or pledge relative to the
appointment or recommendation for appointment of any person to any public or private position or
employment for the purpose of procuring support in your candidacy for nomination for election to the
United SUtes Senate?
Yes No *^.
332
If your answer ia "Ye*." pleaae »p«ify below :
Name of penon mftking promiae. and addreaa
Descriplion of position or employment promiaed
8. Have you uaed any public fund* or political patronage in behalf of your candidacy for nomination
flection to the United SUtea Senate?
Y.-« No ^
If your answer ia "Yes," pleaae specify amount and source of funds and nature of patrunaye
9. Have any public funds or political patronage, with your knowledge or eonaent, been uaed by othen
I behalf of your candidacy for nomination for election to the United Statee Senate?
Yee No t..
If your answer is "Yes. " please specify amount and source of funds and nature of patronage
10. Have any funds appropriated by Congress been spent, with your knowledge or consent, in your
behalf as a candidate for nomination for election to the United SUtea Senate?
Yes No *rr:.
If your answer is "Ye*," please specify m deUil below :
It. Do you know of any specific instance in which any person receiving compensation from the Fed-
eral Government has Ix-on intimidate<l or coerced, or in which any attempt has bwn made to intimidate
or coerce such person in any manner designed to affect the result of any Pnmary. Caucus, or Convention.
Inbehalf of your candidacy for nomination for election to the United Slates Senate'
Yea
333
W r«ir MTwer la "Y**," pl«u« tpecify in detail btlow :
St*ti of
Comnjbr ._
IP
th^.ho /„<^- ^' --^ ^~ W^fe^^:^ . ... Miic duty iworn. dtpoMi (•Omia) wd un
ihy the fofcgwng aiuwcn to queatioiu hmvin conUhM an tra* and MrrMt
Sub«n4bed and •wora to (•fflrmed) before me^ls JL d .day»f ./^9!j^rT^ . »... .A.D.1M4.
[SKAL]
In order that it may obey the mandate flven to it by the SenaU, thl» Committee wiH receive and con-
•ider any thargethat may be filed with it. under oath, to the effect that the funds appropriate! by the
l-ootTWi have been or are being uied to intimidate or coerce any votes eaat nr to be caat in the lenatoHa]
'^^^^ 1944. or any charge coming within the scope of thU Committee's jurisdiction and authority
as nxed by S«ute Re«>lution 26$. Seventy-eighth Congreaa. copy of which accompaatet this qoestionnAira.
334
Exhibit No. 138
^m^^^^^S^^^^" l^^^^^^I^^^^ 'iB^^Z^^^^^I^^J
^m^^..
^T| ii ^;; i ;;jj;;;;;;j|j»g^ ^2£^!sZcii
^ DEPAUTMEyX OF STATK
I «o all to »tjom tlj«e ^rrtenW mM Comt, «ctetinB«: jr^^
^ j^ 7H3D ?.. ZI;-:.SH!-A;: secretary of State of the State of Wisconsin and ^>
M Keeper of the Great Seal thereof, do hereby certify that the annexed copy qf gs
M election rinanclal statement of the Aprletcn rtcCart!-.-/ Tor "er.ator ^
<^ Club, filed, Au.Tust 2l;th, 19.'.6, ^ 5^
e:f''ense state-i*"'
H in this Department and that the same is a true copy thereof, and of the whole g|
/n r«rt»nony Whereof, I have here- '^
unto set my hand and ttffixed the ^^
Great Seal of the State at the ^
Capitol, in the City of Madison, this ^
- Oetaber . A. D. I»S1* ^
335
APPLCTCN
HcCARTHy r€C SENATOR
CLUC
Auf;tj«t 23, 1946.
S*er»t«ry of St«t.n,
?fc41son, *l»eon«ln»
^Ar Slri
Bnclo«»d Is ny rin«n'!i«l report •« s«er»t»ry of the
^ ?»pthy for -^en^tor Cl-jh, I an t«rri-ly «r>rr;/ »h«t •:hl9
r»port li l«t», i-nt thn reason Is thdt the l»«t tr<ns«-tlon
•>> i<ni« way h«ck In Hirch, «♦. which ti'so Jr!3«n 7«n ■>u»t»ni
for-ed a new A; "nrthy 'or *er.«tor Clih »n1 we c««ssj to
fijnetlon.
When I rerelTei yo ir l»-,t«r with th* fnr-ns ar.l Infor-
aatlin aho'jt th" report, I brought all iy bpoV-.i ani Da-^«r«
to h;« orrioe »nd Isft thea th«re. I was ind«r th« i-i-re»slon
th t he woiH take e«r» of It N,^ I saw hiii wasterlay ani ha
told "w that since he had «n entirely serarate orranliatlon he
dirt int inrlHa my flfuros In his report <^r do a thinf; a'out
the-^.
T a-, snrn- 'or the dela;- -.it 1 a.i.re yo'i that It was
not *y fault and hop«( that It has not caned any tro.:"-!?.
*ery tr«ily yotrt.
r •« ■■i>W». McCflrUm (or SsrvMi Ck*. ■*>. ■wf*> t»««V 1«(r*tw>
336
ELfcCTlON KINANCIAL i>lAlhMtNl
• ol Cii iHilii P
■* C m^pm h b II i^xyi^— d»^»> «ff Hub;
K»in« of S^rtuo of tmmtttmK<\ Illi i or 0»k; MtA^. Ru Ul LAFaOQ
STATtJtr.NT of anxMiiu ranirsl. di«bgra>d. mi., ta tk« iKi.mta of )7u4^t v OXpn R. >(cC«rU]Lj
tickft >l tW j IlBMii-j to b> ImM on Om ..J^Ul 4>j of JklgUSt A H IM &
au4a punuM tu Soctioa ItM of Ik* Wiscoii
OATC
noU VHOM RCCCIVKD
rOB WHAT PVHFOaC
AMOUNT
1 fcmn—t iBiimiMiji fpom^
..iJ-WU.^.. ; J9<...Y*a.SU-atten
jrriii»*..pQrMiu««ij
Q11.T> (arjoAlj
.6biaerftl.u(«
.f9.| 50
49.' «in
.Jad* .25...
.J-.fK.13..
..F.tJ5^.13..
.B«j..ICltr«*j
..9^.JB^.yiin.H«(3f
..Frtflflta ^ffrivtr
A,.P*. Uftotr.
.(jBneral.uM
..ftjntrnL.ua*
..9iiatr«l..ua«
42.
50
00
.00
.00
74
Hw:^ 1ft
.tontrtil.uM
5.
..Hw:*.25...
.lJL«..MtQftrthx
9AMrAl H«4
55ft-
' 1
1
■ T*ttl nmhni
...«55.' 74
OATS
TO WHOM PAID
rOK WHAT PVRi^MC
AMOITNT
.JM..5O
Prlntlnir
.70..
on
fe*.. £
.Bl-oWord.. Print lug Co^
.AaoAAOA-.OoaoIl Prln.tezi
Printing
13^
10
Jl^b. If
I Hultlgraphlnc
iS3..
4s
Ttb^ 13 .
<>*Ji»
9t«npii
SQ^
00
Itox*. 25
Q(9r-K4rru
AdTertlAlag.
. . .feM..
'9
- " —
.."«»...
K
337
f 11
OATI
TO WHOM PAID iCoot'dl
FOR WHAT PURPOU
AMOUNT
(
Dfn
TO WHOM OWING i FOR WHAT Pl'RPOSE
AMOUNT
TMtf Orl^
t>
_,=_
STATS OP WISCONSIN -y
M r «. B ll th I ^ r tn n mmt . . Iwiiw dalr •wom. on Mtk Mrs tlut h* to
TTlSSr^"' **" i T— ti^i "^ -J"dg« iI»-IL-HcCUi:tJij. , f»r0.^.5«n«tor
«Mf.rul^ ! '!J^ I X^docth. ..13Lih...*.,<rf.- .iuguat- ._. A. D. IM-^, ««l
IkM Ite f<nc*iM li • truf .nd complrU «BUnaI ■UUniaM of «rtry [ dtibi^^Mml [ bj .ApplCLtOa
Kflr.> rt h y ,-tar -Sgaator-Jlub _ fcr pouuoii ,«,«,» ^S^nod .ndi,., ... ih. . 25Ui
*** 1^ --,'i" "liltJlS^ >•«- A ««i«Ul€r with OltiMUM of rrtry peraoo to or from whom ««fc
{dM.f«m^.u m,^\
I oMlcmtlM
m^ ^ . Ow •pwilW purpow for which ud tb> doU oo whkh uch wu mad> or rKviv^ to-
I r«c«lBtj i
■MkOT w<tk tho IM<1 UfinuM of nirh duburMmmla u
I obliobo^ <
iwa u hafon bh tlito t J -» J l( day
/?^/^ ^.D..,U..
aay Amount or mwuier whateorrrr.
ISAcmaiT or l-amikim*. L^m>n«« or uttDfT
IM^Ii lk« ooM IWrt w» M rMoivu. dtokarnxMU or oMi(Bliow tkii^^f ■kooM bo tUI«l omt* tlM fart o/
*• bla^ Md •fldani i wn d lo IW bmI muwr. ItW (» to).
No«*rr PoMtr
nyolcii ronailttM i
sM Mt >i«^u oadovit a< bio cmndidolf ^ p*r*on>l ilolMiMal.
338
Exhibit No. 139
* A
1
m&
Itil'"i -j" g(|pn.m,^^
DEPAIM ME]^T OF STATE
^ So all to Whom t^ttt ^ttttnti mM Cotnr, ^rrrtings: j
^ /, ^ -Mj:.! <!. ^-It^v: C'A:! _, Secretary of State of the State of Wisconsin and '^.
f^ Keeper of the Great Seal thereof, do hereby certify that the annexed copy of Jj^
Sn sl.ctlon 'M.-nnr'inl stntenents of the V! 1 ■.vni.'.ioo :onr,t-j :;rCa.-U.y for ¥%
•^, rr-nnlPz- -nvb, riiod, Aiirnr.l. "^ril, ret-tcmbor 11th, Octob-r I'^nh rind 3g
^ Novombcr .^^j-il, 19':'), '"' Is
S(i, has been compared by me with the.
rns'j sliitc-:i-it.'. , ■ :i TWm
>; o/ such.
In Testimony Whereof. I have here-
unto set my hand and affixed the |
Great Seal of the State at the 'j^
Capitol, in the City of Madison, this »,
,„.. . . Jc:<x^-r, A. D. I9$l. !
339
UIinUKBE CPgOTT
i^ccAHiH"^ Foa se:.at(.^ club
\/
3/l£
Vie
■sfh
3/£l
.V'3
.VL3
3/23
3/Z3
.VC3
I'll
nil
■hicl
•Vse
■«/C7
3/:8
3/'8
?/?0
3/30
K< 4
4/lf
4/ro
4/C3
n fr\r
"'26
3/ 1
fhLM r.lcL REGglVa^
Jotin Lctic
PCJR laAI PUBfOSS
To advoc
prooott
didacj
R. UoCa
U.S. Ce
Al dhallock
Tisconsin Tire •- Supply Co.
Better '.lorn A^^pliance Cc.
Dutch ^retn
;;icke7 Ccluman
Chirles Tilson
.'essel S. "Jhyte
"rani' "•. Test land
Sussel 1, ^oueg
J. i. 7ilson
Albert J. Tanck
L>. Sj.aluiiit' Hill, '.'..i^.
Gilbert S. Lance
'ohn a. l.aisar
Raljh Y. Cooper
Liave Konlsr
rienry C, Hyslop
Ly.a Ham.Tiatis
Art Coffey
i-eo Coffey
jjeraia.i Coffey
J. uuiaeu
wick Allen
ilorris Sctunerz
Ray Kertais
^0 in Ilonatb
E. B. Thitsk*
C. H. Cephart, H.j.
S. S. Ccffey
l!ax Littof
Thoi, Hansen <• Sons Co.
>. J. T. nolo
UtioCo., Inc.
Republican I'arty of lisc.
Republican /arty of Vise.
Hepublican xartj of .iisc.
Total Beoeipts
t« and
he caa-
i •fosepb
thy. for
ator
I 50.00
f.0.00
49.EO
49.FO
lO.DO
43.E0
If .00
20.00
10. DO
10.00
26. X
10.00
10. M
20.00
10.00
15. JO
2f.X
10.00
10.00
2S.00
26.00
26.00
60.00
60.00
60.00
60.00
60.00
26.00
. 6,00
60.00
46.93
10.00
10.00
60.00
1.000.00
1.000.00
1.000.00
♦3,970.43
340
::inA'JKBE ccaxTT
^AIE
Tc 7Ho;: /;
LLi
i:-u
X 1 m
'.A. J reaper
:o
Vrf
•'ce Li;, Ific
- /<-r.
i.«. ireiij^-'ir
>^c
'./ 1
i.w. G^.e.icer
lira
".'CC
4 'i;
•/7
3/ T
•Tee i.lt., I..C.
lele^ .iCiie Cc.
Tia .ic Ci'iti on T3 '"
ierleri -rauii
i?e 'rjrnal Cc.
I: e 'onrnal 3o.
^L'R T!A'I i'JRrcSE A.".e'U:.T
rrintir.t $2fO.X
.rintint" ^- ^uioiis IT.f.OO
rri..iine' £5J.„0
rersc;:al expenses
for alLer.uance cf
;!-l*aJkee Coaiity
:.'.eelin,^s. 4rr .X
.ri;itiii(- ' -iiLons iic.^X)
Lc'ȣ"-iii:i taiice coll?
to ual.e.. 4.43
Ani.c'J.-.c extents S'l.OC
:;iT.ec.ra,. iii;^- ' 3i^r.s 53.43
ino crc ucnsts ^ZJ.OO
nJver lis Lilt' '■ Ciis l.^C-.T
Tr tal ^iSLursec
.r;.34:.33
341
ELECl ION FINANCIAL STATEMENT
ttuK* at C«ndid>U. P»r.ir>«l C»mp«l|Ti or Pnrtj-CmnmltM, or CJab; _
fjluiUAkittt .C2a»u>trY. ^JtCitJiTHy 68..2eW>£jC^aiA
Nmw of atnury of C«ndid«t«, CommittM or Qok; /iATlMW ...Wi..^LL^XI<(
BTATI-IMKS'T a( wnounU nnirtd. dutnirHd, oU.. la tin inUiwU of ?*y>f*4 ><- ^ f Cl^ tTHl^
'■ad^teu for j "XiSili'" ( c Oi. o«M o* Uti. c><X11l«t. oa Um . j^&PwaU-CAjX -
IkkH at Uu I ^rl*!??! to be h«l4 OB tka JJit. <k]F af J^ia^xtr. A. D. IM^.
ma<to puiauaal U> S^lion 12.09 of th» Wiaraaaia SUttitaa.
DATB
nou WHoy recuvko
FOR WHAT PURPOW
AMOONT
f
I^.IPRK flTTA:^!]?.
0.
OATK
TO WHOM PAII>
FOR WHAT PURTOaX
AMOUNT
(.
."if^lDER. ATt>cHtJ>
r i.
...
''■
TaMiarOMiMPWswO
342
H '■^
To WHOM PAID 'Coal'd)
FOR WHAT FURTOM
t pwd (Brouctot forvwd) .
-ni WIIUM UWING
r«»«J itwhun**!
fXjR WHAT I'l'KWSK
j/oAf^
'/s/.9.^ii.
STATK *\V Wl>iir»\s|.\
-nC^t'-'^ A.BrJv K% .-A N»tfl*rt V "He HCr- l^.ni 4Mly •writ, on '.•th n^ ilKt H« U
'irJn!:J,.; ,.,,1., '■;..::":■■": .,r JTi*fcK"K'.McC--tVv, f„, U. S- ^erw-tor- . .
NU4r..r.ith. ' '-'"' - ^Jl ' '.11... •!. 'i 1.. f 7T->^^U»t" <lir.lt..».l
Ifcil lS» r.f»«.,..,, . i> Ir... •..(,... |,,t. l.',i.n.,«l Mil. " (M or rtrr) ■ ij,.l.jr»^n*»< h)r F^t kiMi ■ KCC
il.ml>^r*^Ti,*M »•■ 'iiwV Ifrf <>|>r* 'i* |».r|»'«e fnr wStrh ami thy fl«lr on wKn-Ii r«rll wna n\»A^ or rvr*iva«l 1..
I ot.ll(ati..
.f ...I, '.tl.h..
J^l.h,.r_,„,M.] ... an, M „ o,.„„,r .h.-.^„ i, Tf A^ L*-l(*<. ^,,
/' «J^ -(.'"i, J| J i*^*»i»'> -' 'li III .' .Ml
/ lk« Want »w« a».l«>* -.~..I"I ." >l.» »"»«l "•al>»»'
>«1m1«u < p«-r»HU' •falr-nirnl
343
UIL1AUUB COORTT
UoCARTaT FOR SB2JAT0R CLUB
uAU
TO IHU; PAIJ
Fvh .TJJAT f!IR^os|
AMOnST
3/ E/46
Aaount prtvioatij r«t»or
tad
$l.d40.38
8/ 3/46
Th« Journal Co.
AUvertialug
63.00
9/ £/46
Uil«auk«t Stntlocl
Advartiaing
E8.80
9/ fa
Th« loarnal Co.
AUvartislof
1E1.20
8/ 6/46
Tht Jouroal Co.
Advartiaiof
113.40
8/ 6/46
Uilwaukta Santinal
Advartlaine
39.20
9/ f/ie
Tba Journal Co.
Advartisin£
50.40
8/ 7/46
Uil»aak«« Santinal
Advartisin£
39.20
8/ •'/46
Jaaaa !lllsoa
SarvLcaa
100.00
8/ 8/46
Irvin ^uallar
Ova of aatomobila
fO.OO
8/ 8/46
Tba Journal Co.
Advartiaint:
77.96
8/ 8/4C
Jaan Boyd
Addraasing mail
'.CO
8/ 8/46
C. i)tUa«
Adaraaain^ aail
7.60
8/ 8/46
B. XlUiaaa
Adurasaiat sail
T.60
8/ 8/46
lUrfarat Tllaon
Adt^rasainf aail ,
10.00
8/ 8/46
Jtaona Tttob
Ad.raaaio^ sail
U.OO
9/ 8/46
Ollvt Hlrat
1
Addraasiof aail
U.OO
8/ 8/4r
Klizabath Braao
Addraasinf aail
U.OO
8/ 8/46
:ir». Ilarrj Olaon
Addraasioe aail
7.60
8/ 8/46
Clara b«M
Addrasaing aail
3.76
3/ 8/46
olunciia 3ro*o
Addraaaioi; aail
7.50
8/ 8/46
8. Nallar
Addraaaiog aail
11.25
8/ 8/46
B. rails
Addraasiot; aail
15.00
«/ 8/46
8. Ktillok
Auaraaaio^ aail
15.00
•/ 8/46
r. Jaoobi
Addraaaioy sail
11.26
:M4
Addrtttiac
•ail
11. 2t
kdirtaMiof
■sail
•'.60
AddraasLot;
■all
U.OO
Addrasiiog
Mil
15.00
Addraisiof
■all
11.26
Addrasaia^-
Bail
It.X
Auurassiot;
aa.l
7.L0
Addraasioe;
mail
16.00
Addraaaio^
anil
7.60
Addraasin^
fflail
15.00
AduraaaiQe;
■ail
It. 00
Addraasin^
aail
7.60
addrossinf
Mil
7.ro
Addrassiof
mail
".10
Addrasain^-
aiail
7.60
Aurtertisiot'
C6.60
Advirtialof
^9.20
Adverliain^
88.20
A-vertlsiot:
201.60
Advertising
600.00
Advartisio^
100.80
Advartiain^
17.64
Adva; lisiOf'
24.64
MQvar lisin^'
'f .ro
Roon for LlaallnfB
11.90
s. Iisy Badio
.iaa
133.x
8/ 8/46 ?. GravtDoa
3/ 8/46 F. :c»ialli
3/ 3/4C Audrey Kl«in
8/ 8 '46 Olt'a .''ischar
3' 8 '46 C. "Taoha
8/ 3/46 A. Poall
3/ 3/46 Jean Crosse
8/ 8/46 -rs. Carl l^^aT .
8/ 3/46 Graca Fields
8/ a/46 Pern Loucaard
8/ 6/46 i^oroltiy Ublaar
8/ 3/46 Buoica Hbeiotiardt
8/ 3/46 Marie Rauther
9' 8/46 H. Tohnaon
9/ 8/46 neorpe niii
9' 9/46 The rcurnal Co.
3/ 9/46 Uilaajkaa 3ar.t.inel
8/ 9/46 :.:ilaaukaa Sentinel
3/ 9/46 Tde Jour.nal Co.
8/10/46 'i&a 'ournal Co.
8/ 9/46 Uileauicee Seittinal
3/ 9/46 ailaaokae 3antinel
3/ir/46 7x800O3in Juiiisti
ChroDiole
j/l'/46 iiscoiiain .Uat'jarsag
9'ir/46 Priater ■.lotel .
3/l''/46 Herbert Braua l^etaro .'or caab advincad
re pnjaent to raaea R.
Tilson on July 31, 1946. lOO.X
8/l'/46 Praok Cravenoa Servloee 100.00
345
8/14/46 A«rlal Iptoialtiat
8/12/46 il ftuAtia ,<:
8/l£/46 ImW Polfkift
8/14/46 BatWl BrMA
8/14/46 Mr*. 01ar» fiSM
8/14/46 XrvJ't^JAbtfltt
3/14/46 a
8/14/46 41 Bulla .
8/14/46 lll««akM 9^la«l
3/14/46 Th« Jooroal Co.
8/31/46 latbao 1. R«ll«r
••■ A4T«rti«io« ^■^''^'"
180.00
Diiirilaatloa SxptW*
10.00
Priaiios
. 29.60
t«l«er«pbB, inoidtnUla
•ad also. *x^9as9
100.00
AddrAatiotf ■•11
S.76
AUciresaiot; aail
3.T£
Addrcatio^ ■•!!
20.30
Strvleat
fO.OO
AddiUooal for ad of
Aof . 11 to oorrtot
origiaal uioiiat.
16.80
Cdi
2.36
LoD£->di»t«ao6 oalls,
looal taltpbona oalli,
■■ala, diraotory,
offioa aup^llaa, ^ttae«,
ragistarad aail, oab fara,
aato.a)(p'3naa. 234.20
TOTAL
$6,020.43
346
ELECl ION FINANCIAL STATEMENT
Nub* at CwtdWisu. [VnnnsI Cunruiv i
arr al CindidsU. Commllt* or
iNUUkiJ
Nun* of S«crrUr
STATKJIF_NT of wnounu nniyi. dilbunW. .U.. I« tka inUraM of ^^CBafcA-cJkj "K. YV^ Ca i,t(1 . .
rai>d>.lw> for j "^J^^JJJ^" I fc, u^ j,<B„ ^ I J S -^ £y- ■ rT^y ^ ^ .V' ' *^' '' ■ '
madi pumisBt tn'Kn-lion 12.03 of ttw Wucomin SutuU*.
^*tr
A. D. IMi^.
DATB 1 rnOM WHOM Hk'CKIVED
rom WHAT ruRPoai
uumn
4-.»-4«. ..
.1- v-***....
«■«
aa
jora
<ft
*-A
B.<J
jC*
M^
*
XA... N^rOt^AW
>; ."?
.fr.^-MV...
.it .«•.«*. v..
.J...».-..-t.v...
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347
m
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OATS Tu WHOM PAID (CaM'4)
rot VHAT PUBTOn
AMotnrr
i„
'
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DATC TO WHOM ownra
fOR WHAT rvuva amocnt
1
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-•w -kkkl AU. VAaULu^ WA^^MI, C iL^ror ^oUur*! purvovi (or tlw r<fio4 Mdinc mi tiM 3 ^
<•» »* -— »wA*-v*-:L*.r_) , IM t . I««llwr .iih thr • ^ • —
•ry fwr^On to Or frotti wboM MMk
o« wMrk Mrk «ai laa*! or roratro*. '
f h dl»lfUr«#mrnU ^ Hi ■■) smowol or
* •iklicoUnaa I
na^rnooo ■•« •••m !•» ■>*Ti>«> ni* into I • aoy ^^ ^^ #• - / ■■/.- - ---1
J^^k*.-*^ ^vJ-«*vvJUCr. -'ro.A**«i.a^."VVV..i0...1i,:!h-.
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Uta Waak aii4 aA4a-H .lari^W i« |N> aaaal ma«»r IKl* (1| <•»
• TW aariMarT tt a |iaf^.«al >a«<^«i< ..-..«. .11^ alMniM a-.l .iwul-- >aWa>lt o# kU raiijlill
tteftacaf
348
ELECTIOiN FLNANCIAL STATEMENT
Ililwaakee County UcCari&T fo r S<Dat or Club
Ma* it liiii ^j •( OH«fc*i^ Oi— IWii m Gtaki '.'ftthan T . Hal It
srATnfsrr ^t w^mtt natni, dM«in< o^ ta ito iii ti Joaa^ Th R . JcCart.nj
iMllili tm \ 'SUSS' [ to iW ^m if II. 3. SHnalnr . ^i, ^^ ^^utjli mn.
tkftat .t tk* ] Iteta I t> te Imm « tt» LLil ^ if .'.ovmbBr a. a im-S.
■■* ill— M to BmlM UM <f dn Wlmmti Immh.
DAT!
roa VHAT rrnLrou j amount
.3/i/.4fe *— .,««-.,-,-^
M. . ;i at . lajs.t . . c 1 ?ox.l. . . .
•.£Q2Q
..AS
! ihRTA hAVft nftAn
...jafl..cftaeA^/.ta..aiac.e..
5j9,i^. S. i246. tfl.e
1
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report,
- .m^nmA
DATE
TO WBOM PAID
FOB WHAT PUV«a
AMOUNT
i/a/.4£
.&s..tJBr..lasx..ca,iOj'.t. ..
•.i020.
A3
iJi^rB tiivfl 5ft*m "f*
4wi5jOkirs.eafiuta autkcj
I
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(A9 uat9 .ojC.Qur.
^flst rwoxA^
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349
i
^
lUTB
TO WBOU PAID (C<at-4)
roa VBAT iu>W>t
AMomr
l»imir «M (Vratikt l<m>«
* _.
DATE
TO WUOU OWING
rOR WHAT PURPOSE
AMotnrr
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•
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aSM
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OMBIy«f .
P-SSmII for Ik*
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imm •■ Ik* ....LJdO... ter o< ....^flVlfeab^r a. ix iMjfi.. mt
ikM tk> f«nc<i« h . ti« ul em»i(M taucUl •Ut«M«^ mry { dMxinJSMM > k} J.:il»AU.k*«-
.CDJlxiU-:iflC.3J:A]UL^CJdlflAt.2.rf«rA«L
'S^^k^mM tiiOac <a <k^...2LkiL
T* !i,;i^"^^^^\ ■ '**-^ *^'^' -<* U- "« <" "«7 P«»» to • IM. •!»- mk
*■**"*-' — ' 1 tT tTtm mmtt^ ?,l tih <i
( If _jiiiiRa.a.l{^fl,...fj.££Oiisia
Om hUmk im4 «a4a«1( u>r«t«4 K Ik* wmI iw
I AT akltiMiMa ttU* fart iko«Ul b* (laud *»«■• tk* hca of
UM (9) (•).
* ''*• —"<*'rr tt • ^raowl MMpatgB vauilaa* dwoM sM «»oii> aftdtvlt o/ hi* oudi^u-i paraoaal Rataavrt.
I
350
I I.I (.HON MSWLIAL S1A1L.ML.\ I
NUM •f ClndbUU, FVrK>n^ CMK^alo n rvty-Cmmmt%U». m Ch*: ..
.lilwA-XM .CflX-tT..Lc£JXjLSj.lQr. iar.nor Clnb
Sam* af SwrrUry of CmMsM. ConaalttM or C«k: .at'.*-. * mW^ r
STATKMF.NT of >iT<o<inu rvnIrHl. dukyiw^. Mc. la tkt IhUtbU ml . .ZaKt&U.Ht I^CCIlTLOX
\ IIWIIll H ««Wt t . « .
cudutalt for j .|M'i,.,n I I-' iw .^>« irf / J ^•Titt*'* .. <• tin . :i«r-L''^CAn.. ..
tKkrl •! thr "|"5""!J[ ( I', br Still M llM ...^U: ^ ^j at . J^lUikbdr A. Dl IM.A.
mad* punuanC t" Section 1109 s( t>i< Wi>r«fMiR 8Utgtaa.
DATE . 1
ntOM WHq^ RKCCJVCD
re* WHAT tVWOU AMOONT
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1
DAT!
TO WHOM PAID 1 fOa WHAT PVHTOaE
AMOONT
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351
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DATS
TOWBOMOWOra
roB WHAT nntroK amodnt
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-ti> t M>&-*.- &»tl» P - MiW *dt nnrm. •■ oadi ••;• tktf W li
W TnMMph » ■■/.<■•« -♦■Ky
. tor ■■J^-&.. a »n » to i ' —
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I Mm 1114 napM* SMKlal •teU>i«M if ctwt < tfikmijMM i kr I' i l-TUkf't
T^ij a'tlV '^^ n^fi^ ''^ ■-. IMfi., »i«»tli.r with th« »»iBt<rfr«ry peiwiBloor fwm wkuBfB
^kw vHk Um t«>l tfnouai of Mrk ' tfilMraiiri^ti J la taj
l ^i ii ttid •■< nan M k^m a* «*'- J^Ptl .*«
rf JLiXJUMJu: A. D. m.jB-.
>««t«rT PaMk kllt«ul(«r
•m kla* mW iflMarn trntntU !• llM
• TW MriManr af ■ piiiu««l e>iap*ifi>
oMI«*tloM tkta (k<1 ikovM k* MaM wiMi At tec* <
JtO» (!) (t).
«M Ml (racvu aa^rU •« kto <
352
Exhibit No. 140
353
■ OTSk «m.«TOIi BDILBiao • •rrLBTOB. ■■■.
3».-t. .-, 10 ■le
. '••'•Xo-* •^r' ■'•-*. ^I'^rtiT ^t t''--'»-t o- '■"> r"" rt ;- for o'».'Ut-
t-ir "lu'h. ■>" -*11 r.ot*.»?«> f" t Ir) -:jT:-in; fo: — rf* t-" j ciir.t
,r ..>.,„.. ,„,„^, <._^„ |j,j„ . j.„.^„^^^ ..., .s't^t-r. r.t, ■» >:;t^ 'i;;*6
t" • '"l-u— ,1''»I^8.5C. TM-j 1- no*, t,*M« tot .1 s~oTv. O! our -vlir-
'""?"* • Tt ♦" "-it| <^o: i ■• i» •■■^» "Or. '"CtT- ♦Otul. •-'t'.'-*- ;•^^U ^'TC
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•aV» ?f ir.,'>.T'.75 V" '•■'xir~ +.3 u'''' f?" totrJ. o<" t:-.e iu-t «'i.-r'!r.
"r--, ^'tor "olrs-j oyr our fi ^are*? - r'-ilX"' -e f'.rr *" ■■ * ';•
••••re •.--'••''•'' •■- ni- n\-{r.J.l -'--'-y ♦"♦1,
■■" — T'-', •- - ' r-^ f--- -'• -rt, : •'.'•» -"v-.X 'till
'•'-ri'o.i -yr-r-- , - - - oaa -.•--». ♦•-« — • ,-r- +.^*: i • -eviousl;- re-
rort'^i* *n «l',^:tiK,.'>^ '.--t^ .rf o*- l','.-"/,,?.':. :- o .r' .-r^rio-tsr'^-
't- 3t»r, -t-rr:s
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/J4^/i^^^^^^*^-^
J pud Iv br M<£i«l>, (Of Smuo CU> U. P Van Vanr>a.SK'r. Apfteoik Via
354
ELECTION FINANCIAL SIATEMEOT^ \y
ntw^wi I m Oi^ uA •**</. J: ik**iL^utii'*Jkt^y,
Nan* cf S«f«Ury n* CMd
STAT»:)IE.Vr •( MMtntt I
_ \ MMTMBAtiua 1
nU>M WHOM RKCSrVKD
Xylols
I A*r><w»A'<^A;.'
I fLttr}*^ /wrv.-'4^
l^Wv-/-^^"^ *
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fOB wsAT ruwcai
1X> WHOM PAID
'r
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fOK WHAT rvmroMt
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355
ELtC i lOiS FINANCIAL STATEMENT
mmiit*». or Chib; ./^
Nam* of C« n di4«l». IVraonal rampKici or I'utj-CamallMr. or Oab;
■^/Cl
\M^J^
.<?i-^
y
.Vwn* uf 5«cfMar>' ■( CuAMx*. CaaalttM ar Oak:
STATI.HtVr or amounu raoiTtd. dlsburaa^ ate. la -Ika inUnM <d .A.A'-.AC' L/L4*W»'..,
rai>4i<l%u f* J "'yi— '!*„"" [ lo tlM oAn of jtljt^_,Mdt.l-#r^.'... w th* . . V'^'^^ A f. f •~
l-k,. .. a» I V""? ' ,., b, h,!d «■ tk. ./i.7^-_ d., of ....^8*:'^!***^. A. D. I»4_fe
mad* pvrauaat l.> 5wTlion ItOS of thr W.acansin Statvtaa.
OATS
niOM WHOM RECEIVKD
fOB WHAT FVRPOU:
AMOUNT
.r.v:ri<^..it»Av^>.H.
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356
2
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OATS
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7f
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rOR WHAT PURfOSC
Ai ^ — w t p«id iBrau|bl Iwvwd) i
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..fJfjC\,..:*::-i7>. K-.ft.'.-.vT^
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41
DATK
TO WHOM OWING
roR »-HAT n Kroac
AMoorr
i
Ttmomm J
STATE OF WIHTOVSIN
Cotinl; of * ;^4^f- - ..
VIM *^f nronL •« •■0> •■T« IkM W !•
ToUd f»r Bl tlw-
ttet the forrgwas » -
.u> ..f ._<'..
hfU m llM .*.J *»T of
and ranvpMr niwarial MatrofM cf r*
;
dtsh<ir«#vf><
tohl
8utarr<tod
tvt yoUlir*] purpoMv tot tW p»n«4 »«Aii| c
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,|„ .prr.V purp-v f"r ahirk aild tKr 4>U oa wMrk Mrk «<• Ma
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» or i^cotTod. to-
1 thr IMol •f-onl -r ••• ►• ' d..kur~-mn>t. i« M> oi-^H or ■■«»>» wWuoiTtf. ,
..^ .-on. I.. brfn„ .^ th.. ^ ^ ^> ^•'^t'iU.jL'.^n^.r-w.faUV
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> T>>o »*<r^af> of a prrwna)
r^^lM. *.h.rarm~U -r .«w»"— «»>" «art ihovM bo rtaUd
' maaarr I'O* (^l (•>
ll>o okoaM >ot rtr^t'ir aAdxit of hll r>iidulat''> p>
a t)M faro of
357
ELLCllUN MNAiNClAL syvltMKNl
Nun* •/ Cwididau. I>r».i«»l C>inp*ifn o» I'sTty-Commillrr. or Club: "'\'-4^'/*-^ tU-\ .^^*^'-t*-\j '~*'*'irr-
, or a«bi Mi^(^dkiiJ.^i'^.i^^y^.-r-r
I a/ <an«ury tl CaadMtW. Coiamitte* <
STATtMKVr of «m<Kurt» ranivnl. diiburiMl. Mr., in U^ intcmli of .^'.(L./v.^S'Jhl.^^^i. .
emMUMr for j '.j^^Z [ to th« otlW* of .^..iJ...jLj.~Jt:Vt>...\.
br Keld on the ..12J^. . dmy of .
pumaM t'l brclion IZ-O} of the Wiacoiuin SUtntM.
4^^^ A
DATE
ntOM WHOM RKCBIVBD
won WHAT PVRFOBB
■ u «l^l■"^^^^:^.
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359
wtATOuan w
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360
(i)
.:.L.
n.
f.'.w'.y iff. /!. Af. X AXI*-. . .
Av'-.'**'^^ ^ •-
isJ..*.,^.^^
f-^y^
jiL&M\fhi..:
....Ajt-Lht,.
...f.flt.
XTATK OK WlnC^pSWIN \
Co».., of y^^««MW*f _>
I.'
{'i ^,?r-^^
■Ml)-! ''[""•"'' ( h-M ... th. /j' '^ «., .f * "^--^^
Wu« d«ll ivoni. •* MlA Mr* UMt k* ll
...^ ,:<Xir-^ --
tkai th* ror««MM i« • iMt» and runtplrir AnanrtAl
IM Cb. lagvtWr wnli lK» iwtfw 'if v'rrjr prrasn lo or frgm vkoMi ^mA
_ lit sitf ■/'i^wrft Of w yini wli«l f WT>r
/ (r.«ii4lteu or OMlmaii <rf Clak)
A n l»«V
r O
r":"As.:f^-^
Sf^M-^^ ^('-
' TW wrtvta/y a* • ptrmumai ta'wM'l
.|pu clu>>urwm«i4« nr i>Wir*tiMia 1M> (art ritMM ka «<U4 i
IM iwual m^AMr i;i» (^1 (•)
361
lUll 1 lilJLllUlJLL, JUL
Mc^art>^ for 3^r.-tor Glut
Ifrhan ?. Van fluntnrm
flTATBONT rf .Mite mmi^ ■ I. .n, k ^i-*— f^ gcCoTthy for Senator
•>*i* i* *• } JiS ( l» W k*M •■ ik> mii 4qp <( £tJ^USt ^ a IMjfi^
ito liiMn IIM Wlk* '
.i
l*OM WHOM RBCHTID
FOB WRATnmrou:
a- . ax:
A.-"'"-'*- -r»ric-i3l;' rT'>3"ted
,l^, "^10*60
D»«e
Vir,
2
:.T"^li""-'' -t-to >1. ':'^-. c^n^ral use
,60C0,C0
A-*,:.
6
-
6y90,00
A'»5,
21
■ r'' -r .. /'I oU'tfier. loan
-.5(i.v.O
A'i--;.
J:0
H «
o. .9-;
Au~.
r--
N «
65,or,
V'",
.73
""rroiT' Tot ftl
5", 00
;io,rf./-:,94
»■ ft, 770. 44
362
■'-•* ■**
A"0'.\;-.t — •.•<on"l;-
^ ipit^'tS»iti
\x'.. 1
A'«^, 5
All :* 6
Am?. 7
A>iT. 8
A.T. 9
~'?r ■;al'l
■J^anclf A, >rn"r
I-r-Tloi Prtr. "e.
?"*.»r»<»n Prens
riiT<! t'or-.-l-'
■•l.-Oi ■• C'ltl't
:• rl« -o>r-".ey
A"~loton '-e!»'t-"i°t»r
••'•"^. L, K»atlnj
V--i'tnn -cc truster
T,jo-r-' .'olln
A-ri"*-'! :>o-*»-T=»»'
A 7l"t?r -o't-'otT
."or*."— " ♦. S-rr, "o,
A-r-l^tnn '>o«t"-«>«t»r
VI re 1 "la Van"lrV'<;-3»n
"'. 1-'\'>V«» pontr.<\'5t^r
<»- pl-ton foatra-oter
A^T-l'ton x'0't''-^'tT
.';i I'luk^e 70 'tr later
Ar>rl'"ton pontrf.stor
A ^letor; 70Tt-a"t»r
"rVar '/"r "oof
"Ml-viV«» '~ofltr^''ter
A-'t'l-ton ^■**'-^nt'r
?rtlT'»ii)c*e ^ct'-a.-'tT
"ash
Arri'**"" ro"*'"^''*-"!"
Arrl--*<'n ro" *■*•'*-'' t'?r
Apnl<»ton po't'-^'t^r
?or fhtot J>ir:70«e
rl^o, "•!V3»n : -▼•■<•-. ^s
1 0.00
r»r.* 'ri" •Ttr* roon
.v.oo
•"l»n, -'•;t«<» •-. jNo''tac4
c.^.OO
-■'.«r, r-;;»« or' 7f5t»;>rd9
^C.CK
ro»*ac«
<-. r.,ifi
lor^ o\itar.e« "• -•.-'OLir
i"rYl<>«
100.71
rrirMnz
no 00.00
•fl
• V;,00
•
ICOO.OC
T«l<ir., -^"C*"
t>0.00
•■0.^-9
^.^ .tX)
r jea
!>.^
•^ >_;•«
I!.,b0
••\:-»
ir.io
""T-jea
5.60
-Rjea
h.50
-o-t«ce
r.15.45
•iv^ia
:-.H0
- ♦ '•jrpa
>1.50
r.<3-. — ;;i •. -o*t;- cASh
IN". 00
»->rr"r'»» on 70 •♦.<*■ rrts
••.«5
•♦a.'-'-a
r.i.ro
r>o-=t->.5e
/.'I. 30
-a-T^a
.•x.oo
—• •C'^a
;7.00
7lat-8
■•.■)u.01
JO" t ace
ri: .10
-!lse, T-a:;»8 / r^tt;- ea.r\
100.00
"'-'"9
c: .00
.-ont(«c«
ca3,80
^o"'t^^«
70-7.73
?f'-79
^oo.oo
r^l'c. --ca <■": ; etty ca3>i
100. uo
7ost'.:9
'.; ^.oO
't-wpa
700.00
7o-!t.a.e
503. 00
rlfxr, w .r;..^ r''tt;' f*>>>
100,00
■- :••
oO.OO
^O'tSjT*
39H.97
••o''*a';e
AT/). 66
_^o™t"«
■"^,00
"Itf. ■-'>-'"' :■ -At*;' oaa'i
100.00
>-onii« *o Trploywea
i;:s.oo
.-^o-'ta.j^
Cro.89
ro-ta/ja
75.0a
ro'tv*
56.26
ro"tac9 _
Mfl3
Jll,37ft.l»
363
i.x::r4f ■" - rrv:* 2
/
r....-t,^
forr .rd
ni
,37ft. 19
^4y2aa.5£
• t"
■«,-v
?or Wiat piirnoue
IBh
Aro'int
.Vi -. 9
"•i«»», »-n(Te« .fr r'**y '^
\--l»to?i T'o-'-'v^t^r
n t ■'r';:<«
."01,20
A -I'ton no-^t— «nt"r
- 1 •>.'-^9
.•,6.33
'■'. lT» ■'n-n'ly
TH-'oi
2^.00
'■'-", ::irl^ "o'T'fwiV
w-vr^o
1; .SO
■">-o\ •••-'itl-t
-"•.'•»«
••ae
.>•-" ->'?*""'■» eV
•7; ■;^'^n
lilft
••--. ■ .rolrt "Vmt
■•Ttttr; ^rjrts
3S^.,«o„,) j,>t-, ^n.
rrlntlr«
2i>7,S»
^
■'•IV*" 3" 'I "o.
^Icrri in ;.<^~lr»
as.
.^m
A . 10
.■\r"l*tpn ro t.r-'""'t''r
r,o -ituje
J^
.\7-l->ton T" t-.\«t»r
rc-taj«
8««#--^
.^Z
'ort»»w^«t "-le, 'o.
Dlre-tory •
•»«
.^Hr
■ "-In;- rolftVl*"
>?-w8r r*"-" ■■'d*
Si5«<0
^gW
''rV-in 7->n "oof
Ta:**
ao.oo
•'-.lt»'l T^l-. '70,
<Jlrf rtoTy
.63
^^^^^B^
A-'l"*on rostr''^tT
-o'tnjre
'f,SI&
^^■^
A-;^l»ton "0<«tr-«i»t»r
r'0'"tr.:e
*s.«e y
'^^
'-r'T',»T» ''offyRn
TTac*"
*?.otf /.
^P
'•• ' -Tn-iV^.^ Tlrps
printing
»3.6» ^
^
T^»l-a roM^e-'
rr,v;ri oTcrtiPie
PO.M -'
?i»-.h
nine. ":':r'*fl "■ :>*>tt • rash
50.00 •
--^
"rv<>ri X. ■'■••.n S'irt»r»n
r«^r."rfnt i^ ""^tty cash
artTP-nfl«d
28.00
.Vi?. \z
Vlrrl-l-K V*n"lwb'TrBen
vT-vse*
29,60
"•■ntriO. D^llT<;ry oprr.
(>llT«r7 crrviee
214,60
Au/J. 15
TiO" '•■•ii»'-ln
•va.^es
50,00
">Tt.»r C^ntnT
Tragse
76.00
"•'••-nn V--n<5'»r 3eet»n
^'XS^a
bO.OO
-ti" :o-!Hlion
T\.joB :. exp»naeB
266.00
rt\- ;o~inion
...,.'»- tp ' iBtrlbuting
lltTature poTters
107,00
Arna S^lin
^■■-Zin v30u,a0, hotelB
food v^^7,o0, »tl<^nge
;137,00, phone cUla
;37.b0
iirand Total
661,50 .
«14, 490.92
528,779,44
364
.
'
9X3i..WiiTSX7..A....
Trt« ii^ni
DAT!
TO WBOM FAID
poa WHAT mroKM
kMOVwr
535? .Tr:.I?.T.T.B
"^
1
i
::;::;::;:::;;:; ::::::::::::
i
L
r
"~ "■■
•■""** "■
365
1
i
1
I
1
'
>•
p
I
" . m r
5 ■ ; s*
I
> o
^
w
^
-^TSi —
TO W»>M FAIO (Cof 4)
foB wsAT nnvwa
Auxin
(
'Via' Amaa*
atn
TO WHOM owmo
rOB WHAT FUBTOSB
AMOOMT
- Aus...2t..
.'.c:'.lf/::'.?.v..?An?.?..i!:.tsi...';c
faa.riaoi:.A5:li«..!;.Qii
:r:TacxljBi.i?3rt«-..?.<?A
f. 27int^.ing.
».....jS£fi
,00
:.?* !
..„l*PA
1061
.?3b.
op...
flM. Own«
"ijw'es
*so
ttATB or wBOomni ^
- rf Cut a.7-rle f*
'r*--Ti ?i Ynn 'iii-t'rnnw< _
t SSSS l te «• I •'■^"" 1 •< ■■-•'oser*! :^. "oCarthy j„ X\ 3. Senator
Mo^ if miT l^^^r*} ^ l^cCajTthy for
«f aviiT »■>«■ t> cr ItaB «iMB aib
^x*** » »' »' ■■ '« «W<k aX tk* 4Mi « «Mdk *«* «aa ai* «r aaaiaiA <•-
i
366
' I ' 1 II I lU ^ I I V \ M. I M S I A I IMI V 1
Nun* or •^'tK».m.yw»mxar%mmaAiMWtmtTmMwmtrt cu,),. MoO*xxiiy for S«BKt»t
.Club
Nun* or svnur> «r quDBUZUWIr a«k; — Qtbwt £^ K*o 8u»t«»aa
STATKMES-r of »n.<Hintt r»c«l>««i. diltnirwil. nc. I« tk* inUraMl of .°.^.^ * °*'*^*"'' ....
<-.»d.<ute for ) "Tw""r"" | '" '•- »«" "' .. .U. . .?. ^_Seni|t Or .... „ u» RepubllOM .
0.».t .1 it.^ I ;i^,t;; ( t.. I- KWd on t^ P-}^ 4., o* WOTMber A D ,M..ft.
m»4( ^noanl li. S«cl>oi> 110$ of Ihf WiirOMln SUIviU*.
DAT* 1 nWll WHOM RECUVBD J^ fO« WBAT rURTOU AMOOWT
MOOARTHT FOR BIRATOR OLOB
EXHIBIT A
8«pt. 14
T. 0'l.«*ry
general uae $49.90
Oot. 4
Rep, 9tat« Vol.
Co«. '
1000.00
• 10
R. Jobnaoa
600.00
R«p. 8t*t« Tol.
Gam. '
1000.00
Albert 0«hl
10.00
Cul B. Oahl
10.00
A. L. HarrlM
' 10.00
A. 1. 0«hl
' 10.00
K. L. 0«hl
' 15.00
J. W. 0«hl
• 30.00
Reuben 1. T^en*
' 49.50
^. A. Reiee
' 60.00
Walter J. Tollr
atb
• 86.00
1. R. Salth
■ 46.00
• 18
Ray Klermae - loan
• aooo.oo
■ 34
Rep. State Vol.
Ooa.
' aooo.oo
•6794.00
367
• -
•m^t
8m Att«ob«4 IJCHIBIT A
DAT!
TO WHOM fklD
rOR WHAT PURPOUS
AMOOMT
Wit, Telephone Co,...,
R. J. VerstsKen Tran
3ept, 2!
t«;eia)9.n«..MrTift»..
285
..OQ.
Oct^ 4
, frel^fcht
.<iXr.iBtOXi.9M
.3
,09..
....? .....f .
.Wrljiht PuWXuhlnc CO.
Petty cash
.Ml
• 4
■1.8cel.\W«0M.«.
.M
,19.
• 4
• 5
Jtay (Jlimore
r.«fi<Ur»«n.t . .9.t. .l.i?». . .
polling. Ii«.t ..
279
a
«
M
10
,00
6
Mary Bevooqua
?«.•*•«•
ipn\*?,..oX..<fhMx».....
.\elRi)J)9M .»*ry.lflft..
I ftdrcrtltlng
,00
' 9
«■. Stolt
• 09
• 11
•....15...
...■>•.? Telephone .Co^_
,0Q
...V..X5.
■orth Star Pub, Qq^
AlXftC.t.ariM.
. . 93
,SQ
• 22
Vra, Ceo, Holtkneoht
o.o».\r.w.t..tyj?lnK
^
.9Q
• 26
Blj>lpjr«M
«««r.
.«U
..fli.
-
~-
...tUiC
.fi9
368
fe I
H Z
OAT« Ttl » HOM FAID iCoBid)
fOR WHAT PURP08*
AMOUNT
1
TM.I *a...li
rrjR WHATPiRPoeK
OATK
TO WHO U OWING
AMOUNT
Oct 12
Rrlntlni;
I...1429.
|0Q
OlreolozJlcui
VP
30
Oct. .2.
JWpBT
oO?
06
....?.Q98
36
__^
«TAT»: Of 1HW<»SI.N
Ikal tK« r<>f«coiii« !• • <ni<- aii'l '"niirltr r.««i>ri«l nu.nt.m^
.^ Urban P. Van 3u«te|yj„ ^j, ,w,m. «■ cik «t« •>-< "«•
Jon«i>h R. McOaxUiy for U. 3^. Sena t*..
6th ^, „, H-weaber a n im
, ' 4<a>H>nM«ral
KcCaXthl 'or senator Club r<>r »""<•'*' »«n»v« for ok> i«no<j •■xHui m tk.
6...
6th
4.r "f
g*1h«r with tiM
.H«kvrik^ u«l
Octob«r
I 6 , u^ltor •!••> I*" ■>*"» »' r^'rr t^nsB U or fmn wkom Mrk
> fnr >tii'k ••>! Ikr <tat» oa wttirk aark «•• mmAm or rmro). !•
.„.. .( .,k .li,<.Mr~m.r.U ^ .
I. »4^
^5^^^^%-
/ (O
UuadxUM. r«mailM* (r Oak)*
/Wi d
• Tk* ».r«..) »/ • »»r— i
369
I I n I HIV \\ \ \\{ \ M m Al IM.I \ !
Sun, <•! iimmtut rTw.i»x%mwmmiJiwm-»MSX»mmm»jmxi-\uhi McCaxtny for Senator Club
rK^UM. di>huraRl, ru.. in tki .nl^mu nf JaS&Sb.R^ MoCArthj
j I .. thr .rfv. ,.f .U> S,..3en«t<T . «„ o,. Re 'iM lean
I., hi h.-iii on Uw 5th •!«> "' - Sivenber a. n. im 6.
I!"-J ur Ihr U'KvMwin StatulM.
fKOM WHOM RKCUVBn
.Oct. 26 4m.>u«l l«».v>l»l/ rr|.>fMd
• • 31 »«?p. Hat. Vol. Co* •
,. JQV. i JBep. 'itate Vol. 3qbu
" 1 Otto Zank
• ' •'" L. f. Beebe
... .« — ^. ■tiig.,ry P-ytiflt
•-. 7 -Jb,. H. 2:jehlke
.....?.... 7 F..E. T.iyiQX.
" 7 Lewlp Parka
•■•■••■• T TOO, St«e Vol,
■■ .. a Jxaik T. Fxay.
• 9 Aucrust K. Paenchke
-- ••• ij, •■,; ^ Lemke
• 11 Wiv Klemwi "
roK WHAT puRPoee
AMOUNT
<t;ner^ uae
nnm.
.fi7.9i,
.200Q,
10
5
- -ss
....25
2f
.. .49
49
■ 49
00
88
QO
00
jOO
joo
00
m
00
^^"^
.50.
,50
.50"
jeo
Total r«a<«<d.
ii 22 54, 47
D*TI
TO MUOy PAU>
FOR WHAT PlRPOaE
AMOUNT
Oct. 26
eooj
99
..? 3^.
PQHtijaster
...?.tJM>9«
00
• aa
Ozaukee Pub. C04
directory
7
50
30
. Hotel A-joleton
rent
130
00
...MUl.r.X...
"an Hooy Prtfc...Co,
Peter Honlok
printings
1429
70
• 1
distribution of ooater
B 25
00
• 1
." i ..
Apple ton Poat Crescen
Mlrlweat Pub. Co.
t a(Jverti«ln<^
director lea
'35
92
'00
.....". 1..
...■X3tii.t .HrOB.
.Bt^jfV jstock
.596.
. . ST
fff}
... • 1 .
. . . Jc Jir.? -jn Pub . .Co.
...ilUrBc.t.oElieR
fiO
.....•- 1.
...H^xth star P«b... ao,....
■
9j
00
....'.......1..
...llaitti««8.t tnKT....Cio^..
. ..31 eraent . .■».uel la
...H'>r';h.reet Tel, Cfl
Con»inlty Tel .Co,
OoiMonwealth Tel. Co.
platen
17
94
...'. J...
.. .•. 1..
..8.1?n".
..riUcuatociflft
4.
... Si
.50..
2!>
.• >...
■
i •■'"
6
12
00
BO'
• 4
.Jo 4iaon Pub. Co.
Illscanaia Tel. Co
BtaployeeB
.Ray Klermu
■
8
50
V 4
....tel.ei>Uon«..nM.Tl.ciJ
88
86
...v. 7.
...'. .7.
....QpntrafiS.w'jr^
repayment of loan
1074
abbo
21
^00
• 7
Ray Kiermaa
75Q
1.00
.........?Q...
»•. atoit.
chair rental
22
tOn
...:...9Q..
. Central DQl^vexj
hauling
1
55
.......2.Q..
...?A.«?.on«»Xn Tel. Oo,
telej^ne aenrlca
26
,69
112.254,
.47
i
I
370
* • f ! «
• "■ ■ o
^ . i
i ^
1 fi
Tl' mHUM PAID iCcst'4)
roK VBAT ruKnn
DAT*
TO WHOM OWINO fOR WHAT PVRPOSI
AMOUNT
I.
»
•
TMllOallt
^^
STATE OK »1SrO\SIN )
r.,.., .f Out ajjiuilf _ i "■
hnx Mj twMm. M oatA OF* Out te !•
I •UrtH.ft I
' .f Joatph Ja^.McAt.toJ..- .f« a...3^.3matar.
»"| h«ld on Um ..5tb 4»r rf
D. 1M.6... *■«
l> Mrntarr*
««ts4 for >l Oo
lAat lh> rar«oli« tt • <ru» uxl ra<iipM> Kauri«l MaumtM << r^n ^ *dJiT»jij«« ^ kr — ji ♦'
...McilmXU^j tax.&anAai.01)t>- «•» m««»«i f«r>cM ri uil litiw mttmt <m ik*
^,j ^ "'"'•■'^.' 1»4- .. taa«IWr -It* U» iMjnof nxrr p*nM «• m fro* •»<» OTc*
' dJZ^^ISJjr ;^^ j . U- .»«lfc r..»o« f« -*icA «- IW *^ - -Wk .
I m BUBOT »Wai
(MKrr w<U tAa lo««l anwxuK af lack *■>■■"■■ « —«» ,■ i» Mj
- -I'-'T^J, ...■■■■■ -
• Tk* mrmtMrj W • >« rai — I m i»«> « » i
> ^fc 11 If *■•- '"-■■ '- I ■■ m iiM l
371
Exhibit No. 141
1ttt%iUb ^iAi«* «£«iu»l«
SHKCiAL (O.MMITTKK TO INVESTIGATE SENATORIAL CAMPAIGN
EXPENDITURES. 1»46
In connection with ncintn:::!r.2
i-KIMAKY i:i,B(TIONS, CArCtSKH, OK lO.W ENTIONS
Qufnlloiuiairc
The rulluwiny gueation* are to be anBHrml by every candidate fur the office of Senator nf the United
Siatea at any Primary F^lection or at any Nominating Caucuii ur N«iMinatinK Cimvention in every Slate of
the I'nited Siatea during the year I94<.
The retjueitcd information ia required in connection with Si'iiuti- IleM>lution ^21. 79th Congmta, 2<t
S<-wion, Kebniary f>, 1946. /
1. Name of State in which you are a candidate Jl.i/r^^^^.^T^-4tt^\\^
CoiitribatiaM
2. Have you received from any lource any contribution, gift, service, or anyUiing elae of value to
nomination at a candidate for election to the Senate of the United State* from
luaiat your candidacy fui
theSUteof ^V '^
'♦-rf-C^vi^ i-tw- vw in the Primary Klivtioii, raiicui. or Convention during the
r ]94«?
Yw . K: No
If your aniwrr la "Yea." pleaae apecify in detail below :
Ji't>-<^ < // ^o
TOTAI. //. ^O
372
3. Ha* my person, with your kiio« U-dgi- oi toiijent. received «ny coiitiibution. gift. »ervirc. or »ny-
thinf elM of value, in behalf of j^ur candiHaiy for nomination for ilection to the Senate of the I'nil.-.l
SUtes from the SUte of / //..<,-U<^<rt«-<L-.^x^ ,n th.- Primary, Caucu». or Convention of 1946'
Yea No
If your anawer it "Yea" pleaae »pe<-ify in dcUil below :
In Re: Questlona 3 and 4;
The WlBconeln State Republican organltatl->n and Tarlouf
McCarthy For Senator Conralttees did, I understand, fpend money and
perforiB acts for the promotion of my candidacy. As to the araounti
spent, contributions made, etc. I presently have no knowled^^e ex-
cept from hearsay and rumor.
I exercised no supervision or control over the Republican
State Voluntary Committee nor over the various McCarthy For Senator
Clubs, etc.
Under the laws of Wisconsin each Individual or committee
that spent ovpr fifty dollars In the promotion of the candidacy of
anyone must file a complete verified financial statement with the
Secretary of State of Wisconsin. I don't believe that I am entitled
to obtain a copy of such statements. I assume, however, that If
your committee would write the Secretary of State he would be glad
to send you a verified copy of statements filed by any committee or
club which was working for my nomination.
vention of 19-16, without receiving in payment or compenaation fur iuch aervicea or facililiea the fair and
r«Monable value thereof?
Yaa No
If your anawi'r la "Yea." please fully deacriU- the acrviiea rrndnwl and the facililiea made available.
Mt forth the payment or compenjiation actually made therefor. aUte the fair and reaaonahle value thereof,
•nd explain the baait upon which luch fair and reaaunable value waa computed.
373
In Re; Queation No. S:
TO WOU PAID. ADDRESS, and PURPOBl
U.S. Postofflce, Appleton, Wis. — Poetag*
V.r.W. Publication, Milwaukee, Wlaoontln ->-
Advertising
rieoher Letter Senrloe, Appleton, Wla. —
Uultlgraphlng
VanHooy Prtg. Co., Appleton, Wle. —
Printing and Paper
VanRooy Prtg. Co. , Appleton, Wis. —
Envelopes and Pfer
Anonson-Oomoll Co., Oshkoah, Wis. —
Uultlgraphlng
Sohroeder Hotel, Ullwaukee, Wis. —
Room and Phone
Sohroeder Hotel, Ullwaukee, Wis. —
Room and Phone
Date
Amount
4/2/46
$ 90.00
6/28/46
160.00
7/2/46
9.10
4/16/46
47.50
5/16/46
47.50
4/18/46
32.00
8/6/46
58.20
7/29/46
35.00
Ulsoellaneoue Items of less than five
dollars each, spent since becoming a
oandldate, such as telephone oalls,
hotel lodging, gasoline, oil, etc.
430.45
The above Is a statement of my expenditures as filed with the
Secretary of State of Wisconsin for the period up to the Tuesday
before the Primary (Aug. 6, 1946) pursuant to Wisconsin Statutes.
The following list of expenditures covers that period from
August 6, 1946, to and through the olose of my campaign:
To various filling station operators
for gasoline, oil, etc. (No one Item
over five dollars)
Sohroeder Hotel, Milwaukee, Wis. —
Room, telephone, etc.
8/6/46
to
8/12/46
8/11/46
Owing to Wisconsin Telephone Company (To be paid when
billed)
18.00
57. CO
14.00
Total
998.76
374
Exprndllum
6. What expenditure* or di«bur«ement* have yoii marti' in behalf o1 your candidacy for nomination
for election to the United SUt« Senate?
Total
6. Have you made any promise or pledgt relative to the appointment or recommendation for appoint-
ment of any person to any public or private poaition or employment for the purpose of procurinic aupport
in your candidacy for nomination for election to the United State* Senate? , .
Ye. .. No U<.
If your answer i* "Yea," pleaae specify below :
Name of person to whom promiaewaa given
Addrea* of person to whom promise was given _
Description of poaition or employment promised
7. Hm any penon, with your knowledge or consent, nruide any promise or pledgr relaUve to tht
appointment or recommendation for appointment of any person to any public or private position or
employment for the p»irpo*e of procuring aupport in your candidacy for nomination for election to the
United SUte* Senate?
No
375
If your answrr u "Ye*," picaac ipecify below :
Nunc of pcraun making promiae, and addrcaa
I
D«acription uf pi«ition or employment promlied
H. Have you uaed any public fund* or political patronage in behalf of your candidac>- for nomination
for riortioii to the United Statea Senate? ,
Yea No t^r
ir your aniwer ii "Ye*. " pleaae »pecify amount and »ource of fund* and nature of patronage
9. Have any public fund* or political patronage, with your knowledge or consent, been u»ed by other*
in behalf of your candidacy for nomination for election to the United States Senate?
Yes No
If your anawer ia "Yea," pleaae specify amount and aource of funds and nature of patronage
10. Have any funda appropriated by Congreas been spent, with your knowledge or conaent, in your
l>ehalf as a candidaU for nomination for election to the United SUtes Senate?
Yes No ^■'^
If your anawer is "Yea," pleaae specify in detail below :
...U
' '" ^ '"*" '™°* "* •"' apeclflc instance in which any person receiving compensation from the Fed-
eral Coremment has been intimidated or coerced, or in which any aUempt haa been made to intimidate
or cnorce »uch perK)n in any manner designed to sffiTt the reeult of any Primary. Cauciu. or Convention,
in behalf of your candidacy for nomination for election to the United States SenaU?
Yea - No L^ .
376
If your answer la "\n," pl<>ii»e iprcify in d*t«il below
Stati or
d
L
{
X.y
^
.vr*«-C^a»- -U<- N'V.
lii^T'C^^flLZiC^ J^
^py^n:^^
J-C f^T^ "^ . /y /, ^ ^— ^.''t-'Cti^being duly »worn. d<-poa«« (afflrmi) »rnl tayi
that the foregofiig moiwers to questions herein contsinefftre true^iyl corre^ ) -O
7. 'A^tP^^
7 (
. ATT. 1946. '
Subscribed uid sworn to (affirmed) before i^e this ^ C ^day of
AJ*^- Cl^i'xofClrouit Court jLWUHtiiocat
/ Outagamie County, Wleooneln.
My commission expires . 19
J:;^*< -cy^y
In order that it may ob«?y the maiidatf triven to it liy the Senate, this Comniitti-*- « ill ntnve and con-
ilder any charge that may be filed with it. under oath, to the effect that the funds appropriated by the
Conp-eas have been or are being used to intimidate or coerce any voti-s cast or to be cast in the senatorial
campaigns of 1916. or any charge coming within the *ioi>e of this Committee's iuri«<lictioii and authority
as fixed by Senate Resolution 221. .Seventy-ninth Congress, copy of which accom|ianies this qu.-«tioiin»ire
\
•5
t5
377
Exhibit No. 142
4 4
5 "--
378
m
379
^
380
381
Exhibit No. 146
\\'
»^ IK 19*7
Mr. Hay Klenw*
o/o Stutor J.H. MoCarthy's Offle*
Stoat* Offio* Building
Vnthiogtoo, 0. C. '
Oaar l^jri
In aooordano* with ay telaphona oonveraatlon of thia
■orniog with jou and Joe HoCarthjr, I aa encloalng herain not*
for (10,000. together with lavlngt withdrawal for your sigoatura.
When retumlai: tha oota and iaTlngt withdrawal properly aignad
together vlth your laTlngf pata book , kindly send ue a letter
authorlilng us to ar-iy the HO, 000. on the Joe McCarthy notaa*
At the present tine Joa'e notes total $53,093.35. After
you authorize the payaent of $1C,000. the notes will be reduoad
to 3U3,093.35, At the oloee of laet night's market Joe's oollataral
wae worth the followlngi
800 ab C. M. & St. P.
«?11,000. Cent, of Oa. 5iB of 59
400 sh Stan. Oas A Sleo. k% pfd.
•3,000. Cent. ofOa. 5s of ^^
'1
at
[7,000. Cent of Oa. ^ia of 59
510,000. Cent, of Oa. 5e of 59
50 sh Heola Mining
IOC -
LOO sh Burroughs
:?00 sh C. M. I dt. p.
SO sb Ueneral rioanoa
S5,000. aortgaga
Velua
Loan (aftr»r JlO.OOO.
Mr.rgin {lG%)
l^lth kind regards, I aa
8i
t6, 600.00
10- 3A
22,682.00
?2
8,800.00
1^8
1, 1*1*0. 00
10- 3 A
75?. 00
10
1,000.00
11»
575.00
1,306.00
w
1,650.00
7 ,
350.00
5^000^00
p«t.)
4 3.093.00
Yours »ery tnily
MA^tH
Speoial: Air Mail
President
382
383
384
385
Exhibit No. 150
1
386
Exhibit No. 151
387
Exhibit No. 152
THIS DEPOSIT ACCEPTED BY •"
uf SaoliitujitiiH. 9. i£.
MAIN OFFICE
SUtJUrr TO CONDITIONS AS PRINTCO ON THE
REVERSE SIDE OF THIS TICKET
FOR THE CREDIT ,
PLCASt SEE THAT AIL CHCfJ% AND DRAFTS APE ENDORSEQ
STATE KAHE OF BANK OK COf*»ANV ON WHICH ITtMS AH F DRA^J*
':2:^y&lj^
ITEMS. (rnteiClerk^SrijIvr
■5t^i*«^,
3y/^ -
i
388
ExniniT No. 153
Hoa. ttUU« Bmtoa.
SanaU 0<flM Bttlldlac. to. 3S4.
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THE Rices NATIONAL BANK OF WASHINGTON. D. C.
389
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tmthingtoa 25. O. C. .
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390
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4
McCarthy: the Man, the Senator, the 'Ism'
By Jack Anderson and Ronald May $3.75
Savs The Psciv York Post: "Jack Anderson and Ronald May have
written the factual and accurate story of McCarthy's rapid rise
from obscurity to notoriety. The whole story of his scandalous
C4»reer is told here in comprehensive, readable form. . . . This book
is a valuable restatement of the case of the people vs. McCarthy."
Says the Saturday Review: "Messrs. Anderson and May have
misse<l nothin<: of si<rnificance in the record of moral squalor
McCarthy ha.« left behind him in Wisconsin and in Washington. A
valuable contribution."
Says The Cleveland Plain Dealer: "An extremely significant book."
Says The Washington Post: "A devastating piece of work. . . .
Those who fancy themselves experts on McCarthy are in for a
surprise. Anderson and May have dug up much more documenta-
tion on each incident than was generally known to exist . . . this
is a book that has the big truths in the form of the relevant
docuMieutation attached to each episode of McCarthy and
McCarthyism."
Says The \eiv York Times: "The record is plain for all to see,
and this book will help to make it plainer."
Says 1 he .\*'jr York Herald Tribune: Messrs. Anderson and May
make no effort to hide their belief that McC^arthyism represents a
serious threat to American freedom and democracy. But their chief
concern is to set forth the facts of the McCarthy record and to let
those facts speak for themselves . . . this is an amazingly successful
book and just about as valuable as any that is likely to be pub-
lished in this era of decision."
Published by The Beacon Press, Boston 8
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